What are investors watching for in this week's Q2 earnings reports?
Corporate earnings take center stage this week, with filings due from several leading U.S. firms, including Tesla, Google’s parent company Alphabet, Intel, Verizon Communications and Coca‑Cola.
This follows a stretch in which the S&P 500 saw modest gains while the Nasdaq notched a fifth straight record close.
Results will also emerge from companies across consumer and industrial sectors, as well as from energy and health‑care providers. Meanwhile, economists will be monitoring June’s data on new‑home starts and resale transactions for clues on the housing market’s direction.
Tesla faces downgrade as Alphabet and Intel go all out on AI
Tesla’s (TSLA) earnings, set for Wednesday, attract extra attention as investors parse several headwinds. Analysts have cut their ratings, pointing out that deliveries in Europe are slowing and the stock is down almost 20% so far this year. Executive departures have only compounded the uncertainty, and UBS analysts recently described Tesla shares as “fundamentally overvalued.”
Meanwhile, Musk’s robotaxi rollout and his recent exchanges with Donald Trump, including hints at forming an independent political party, add extra drama to the release.
Alphabet (GOOG) is also on Wednesday’s agenda, and investors will be eager for updates on its AI initiatives and their implications for long‑term growth.
Intel reports after the market closes on Thursday, and analysts rate the stock a “hold,” with an average price target of about $22, close to its recent price above $23. Investors are focused on its chip‑making (foundry) division, where CEO Lip‑Bu Tan may write off assets to switch to a new process for big clients like Nvidia and Apple. UBS warns this shift could pay off but carries risks.
Wall Street expects Q2 revenue of $11.93 billion (down 7% year‑over‑year) and adjusted profit of $74.5 million (2¢ per share), versus $83 million (2¢) last year, with foundry sales also forecast to fall 7% to about $3.98 billion. UBS has raised its price target to $25, while Wedbush and HSBC keep theirs at $19 and $22—all “hold.” Intel is also cutting several thousand jobs in Oregon as part of its ongoing restructuring.
Verizon (VZ) reports on Monday, with analysts expecting its subscriber counts to level off. AT&T (T) follows shortly thereafter.
Midweek brings reports from Coca‑Cola (KO) and General Motors (GM), which may reveal the impact of recent tariffs on exporters. To cap the week, HCA Healthcare (HCA) reports on Friday amid efforts to manage the fallout from its recent data breach.
Housing market data could confirm persistent weakness
High borrowing costs, steep prices and tight supply have weighed on buyers. While May saw a slight uptick in existing‑home transactions, the annualized pace of about 4 million remained near multi‑decade lows.
On Wednesday, the National Association of Realtors will issue June resale figures, which market watchers will scrutinize for any signs of traction. Thursday brings the Commerce Department’s new‑home sales report, an indicator that has shown some gains as listings tick higher.
Investors will also track initial jobless claims on Thursday for labor‑market insights, and Friday’s durable‑goods report for a snapshot of manufacturing activity.
In Europe, macro‑watchers will turn their attention to the European Central Bank, according to CNBC, where President Christine Lagarde and her colleagues are widely expected to leave rates unchanged at 2% on Thursday.
The consensus view, according to Reuters sources, is that threats from U.S. President Donald Trump over tariffs will not alter the decision this week. However, officials have signaled that if Trump proceeds with 30% duties on EU imports, the ECB could respond by cutting rates.
Investors will have until September 11 to gauge the fallout, as the ECB then breaks for its summer recess.
On Tuesday, Fed Chair Jerome Powell and Governor Michelle Bowman will speak at a banking conference in Washington, D.C. Because their remarks fall within the blackout period before July’s Fed meeting, they likely won’t talk about policy.
OpenAI CEO Sam Altman will also speak—his first appearance at a Fed event.
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What are investors watching for in this week's Q2 earnings reports?
Corporate earnings take center stage this week, with filings due from several leading U.S. firms, including Tesla, Google’s parent company Alphabet, Intel, Verizon Communications and Coca‑Cola.
This follows a stretch in which the S&P 500 saw modest gains while the Nasdaq notched a fifth straight record close.
Results will also emerge from companies across consumer and industrial sectors, as well as from energy and health‑care providers. Meanwhile, economists will be monitoring June’s data on new‑home starts and resale transactions for clues on the housing market’s direction.
Tesla faces downgrade as Alphabet and Intel go all out on AI
Tesla’s (TSLA) earnings, set for Wednesday, attract extra attention as investors parse several headwinds. Analysts have cut their ratings, pointing out that deliveries in Europe are slowing and the stock is down almost 20% so far this year. Executive departures have only compounded the uncertainty, and UBS analysts recently described Tesla shares as “fundamentally overvalued.”
Meanwhile, Musk’s robotaxi rollout and his recent exchanges with Donald Trump, including hints at forming an independent political party, add extra drama to the release.
Alphabet (GOOG) is also on Wednesday’s agenda, and investors will be eager for updates on its AI initiatives and their implications for long‑term growth.
Intel reports after the market closes on Thursday, and analysts rate the stock a “hold,” with an average price target of about $22, close to its recent price above $23. Investors are focused on its chip‑making (foundry) division, where CEO Lip‑Bu Tan may write off assets to switch to a new process for big clients like Nvidia and Apple. UBS warns this shift could pay off but carries risks.
Wall Street expects Q2 revenue of $11.93 billion (down 7% year‑over‑year) and adjusted profit of $74.5 million (2¢ per share), versus $83 million (2¢) last year, with foundry sales also forecast to fall 7% to about $3.98 billion. UBS has raised its price target to $25, while Wedbush and HSBC keep theirs at $19 and $22—all “hold.” Intel is also cutting several thousand jobs in Oregon as part of its ongoing restructuring.
Verizon (VZ) reports on Monday, with analysts expecting its subscriber counts to level off. AT&T (T) follows shortly thereafter.
Midweek brings reports from Coca‑Cola (KO) and General Motors (GM), which may reveal the impact of recent tariffs on exporters. To cap the week, HCA Healthcare (HCA) reports on Friday amid efforts to manage the fallout from its recent data breach.
Housing market data could confirm persistent weakness
High borrowing costs, steep prices and tight supply have weighed on buyers. While May saw a slight uptick in existing‑home transactions, the annualized pace of about 4 million remained near multi‑decade lows.
On Wednesday, the National Association of Realtors will issue June resale figures, which market watchers will scrutinize for any signs of traction. Thursday brings the Commerce Department’s new‑home sales report, an indicator that has shown some gains as listings tick higher.
Investors will also track initial jobless claims on Thursday for labor‑market insights, and Friday’s durable‑goods report for a snapshot of manufacturing activity.
In Europe, macro‑watchers will turn their attention to the European Central Bank, according to CNBC, where President Christine Lagarde and her colleagues are widely expected to leave rates unchanged at 2% on Thursday.
The consensus view, according to Reuters sources, is that threats from U.S. President Donald Trump over tariffs will not alter the decision this week. However, officials have signaled that if Trump proceeds with 30% duties on EU imports, the ECB could respond by cutting rates.
Investors will have until September 11 to gauge the fallout, as the ECB then breaks for its summer recess.
On Tuesday, Fed Chair Jerome Powell and Governor Michelle Bowman will speak at a banking conference in Washington, D.C. Because their remarks fall within the blackout period before July’s Fed meeting, they likely won’t talk about policy.
OpenAI CEO Sam Altman will also speak—his first appearance at a Fed event.
KEY Difference Wire helps crypto brands break through and dominate headlines fast
Читать больше
Investors are betting on who might replace Jerome Powell