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High Expectations For Adobe Earnings, Not So Much For Oracle

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High Expectations For Adobe Earnings, Not So Much For Oracle
  • Two software giants are expected to report their latest quarterly results this week.
  • Wall Street analysts are looking for strong results from only one of them.
  • A handful of other companies are expected to report earnings this week as well.

Off-season quarterly reports from a couple of big tech companies will be highlights during a broadly quiet week on the earnings front. The fourth-quarter reporting season is all but over, and the new earnings season is a few weeks away yet.

Expectations of Wall Street analysts are high for software giant Adobe Systems Incorporated (NASDAQ: ADBE), judging by the consensus forecast. The same cannot be said for database and cloud colossus Oracle Corporation (NYSE: ORCL).

Below is a quick look at what is expected from the reports of Adobe and Oracle. That is followed by a quick peek at some of the week's other most anticipated earnings reports.

Adobe

Wall Street's fiscal first-quarter forecast for this San Jose-based maker of Acrobat and Photoshop calls for earnings per share (EPS) to have risen almost 28 percent from the year-ago period to $0.61. The consensus of 60 Estimize respondents sees a penny more, though both Estimize and Wall Street underestimated EPS in recent quarters. The Wall Street estimate has not changed in the past 60 days.

Both Wall Street and Estimize predict revenue will come in around $1.3 billion, which would be about 20 percent higher than in the same period of last year, and also the highest quarterly revenue in the past two years. The company is scheduled to report its results after the closing bell on Thursday.

Related Link: A Peak Into Amazon's Transportation & Logistics Trends

Oracle

When this Redwood City-based company shares its results late Tuesday, the Wall Street forecast is that it will post EPS of $0.62 for the fiscal third quarter. That would compare to $0.68 per share in the same period of last year, and here too the consensus of Estimize respondents calls for a penny more per share.

Revenue for the three months that ended in February will total $9.1 billion, which would be more than 2 percent lower year over year, if the Wall Street analysts and the consensus of 92 Estimize estimates are correct. Note that revenue results have narrowly fallen short of estimates in recent periods.

And Others

Constellium, FedEx, HD Supply, Jabil Circuit and Williams-Sonoma are among the other companies that Wall Street analysts expect to show earnings growth this week.

Earnings declines are in the works for DSW, Guess, Silver Wheaton, 3D Systems and Tiffany, as well as net losses for Aeropostale, Ctrip.com, Gerdau and MannKind, if the consensus forecasts are correct.

Disclosure: At the time of this writing, the author had no position in the mentioned equities.

Image Credit: By Mountain (Own work) [CC BY-SA 3.0], via Wikimedia Commons

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