(Boursier.com) — Wall Street is tempering its pre-market ardor on Friday, after a nice rebound in technology stocks. The S&P 500 lost 0.3% in pre-session and the Nasdaq 0.4%, while the Dow Jones showed little change. The dramatically weak publication ofIntel last night weighed down the ‘flea’ compartment. In addition, traders should show great caution ahead of the monetary meetings of the Fed (Tuesday and Wednesday), the Bank of England and the ECB (Thursday). The American and European central bankers have in fact not failed in recent weeks to point out the excess risk-taking on the financial markets, inconsistent with the general monetary tightening. It is therefore possible that the teams of Jerome Powell or Christine Lagarde will call the markets back to order next week!
On the Nymex, a barrel of WTI crude gained 1.4% to $82.2. The ounce of gold stabilizes at $1,931. The dollar index advanced 0.1% against a basket of currencies.
According to the government report of the day in the United States, personal household income for the month of December rose by 0.2% compared to the previous month, in line with market expectations, after an increase of 0 .3% in revised data, in November. Personal consumer spending, meanwhile, fell 0.2%, when it was expected to be stable according to the FactSet consensus. Spending for November was revised to -0.1%, from +0.1% previously. Finally, the ‘core PCE’ price index, closely followed by American central bankers, evolved in line with expectations, up 0.3% compared to the previous month and 4.4% over one year.
The final index of US consumer sentiment as measured by the University of Michigan for the month of January 2023 will be revealed at 4 p.m. (consensus 64.6). The index of home sales promises in the USA for the month of December, measured by the National Association of Realtors, will be known at the same time (consensus -2% compared to the previous month).
After the announcements ofIntel and of Visa last night, the quarterly financial publications of companies also continue on Wall Street today. Chevron, American Express, Charter Communications, HCA Healthcare, Colgate-Palmolive, Booz Allen Hamilton, Autoliv and many others, reveal their accounts before market.
Values
Intel plunged last night by nearly 10% after trading on Wall Street. The American microprocessor giant completely missed the consensus for the quarter ended, lamenting a loss. The end of the tunnel is not yet visible, the group abstaining for the time being from annual forecasts. The group reported a fourth-quarter loss of $664 million, or 16 cents per share, compared to net profit of $4.62 billion a year ago. After adjusting for restructuring costs and other items, Intel posted earnings of just 10 cents per share, compared with $1.13 per share a year ago. Revenue plunged to $14.04 billion from $20.52 billion a year earlier, also materializing a 10th straight quarter of year-over-year sales declines. Analysts polled by FactSet had expected earnings of 21 cents per share on revenue of $14.49 billion, based on Intel’s forecast of 20 cents per share on $14 billion to $15 billion in revenue. income.
Executives expect an adjusted loss of 15 cents per share on revenue of about $10.5 billion to $11.5 billion and an adjusted gross margin of about 39% for the current quarter. Analysts polled by FactSet had expected first-quarter adjusted earnings of 25 cents a share on revenue of $13.9 billion. California group chief executive Pat Gelsinger said he would not provide guidance for 2023. Gelsinger limited the outlook to the current quarter, citing macroeconomic uncertainties, “difficult” to predict PC inventory digestion and a contracting data center market.
Visa announced for its first fiscal quarter adjusted earnings per share of $2.18, against $1.81 a year earlier and around $2 by consensus. Revenues came in at $7.94 billion, 3% above consensus, from $7.06 billion a year earlier. The payments technology giant said total cross-border volumes jumped 22% in constant dollars during the quarter. Total payment volume increased by 7%. These figures remain well below the 40% increase in cross-border volumes and the 20% increase in payment volumes last year.
Hasbro, the American toy giant, lost 7% after trading on Wall Street last night following a warning for the holiday season. The group intends to cut 1,000 jobs to reduce its costs, or about 15% of the workforce. The group of Pawtucket, Rhode Island, anticipates for the fourth fiscal quarter earnings per share of $1.29 to $1.31 on an adjusted basis, against $1.52 of FactSet consensus. The net loss is expected between 93 cents and $1 per security. Sales are expected down 17% to $1.68 billion from the FactSet consensus of $1.92 billion. The company had already lowered its annual revenue forecast in October.
American Express jumped to Wall Street. The group has just published its accounts and raised its dividend. AmEx surpassed $50 billion in annual revenue in 2022, with continued strong spending from its customer base. Revenue in the fourth quarter alone rose 17% to $14.2 billion, a record high, for earnings per share of $2.07. These figures come out solid, but a little short compared to the consensus. On the other hand, the guidance is better than expected. Total network volumes for the quarter ended improved by 12% to 413.3 billion. Quarterly net profit declined 9% to $1.57 billion, while annual net profit fell 7% to $7.51 billion. The group expects revenue growth of 15 to 17% for 2023, while EPS is estimated at between $11 and $11.4. The FactSet consensus was just 11% growth for $10.53 EPS.
Chevron, the American oil major, took advantage in 2022 of the soaring prices of black gold, generating a record annual profit of 35.5 billion dollars, more than double the previous year (15.6 billion). Annual cash flow from operations hit a record $49.6 billion, while free cash flow was $37.6 billion. Nevertheless, last quarter profits came in below expectations, with asset write-downs and lower oil and gas prices.
Quarterly net income reached $6.35 billion, $3.33 per share, from $5.06 billion a year ago. Excluding one-time items, adjusted earnings per share were $4.09 for the quarter, versus FactSet consensus of $4.33. Sales rose 17% to $56.5 billion, versus a consensus of $52.7 billion. Net production of oil equivalent fell by 3% to 3.01 million barrels per day. For upstream business, which includes exploration and production, profits in the United States fell 12% to 2.62 billion, while international profits jumped 31% to 2.87 billion.
HCA Healthcare, the Nashville hospital giant, lands on Wall Street. For the fourth fiscal quarter, the group reported revenues of $15.5 billion, as well as a group share of net profit of $2.08 billion, or $7.28 per share. Adjusted EBITDA was $3.18 billion. Cash flow from operating activities amounted to 2.53 billion. A year earlier, revenue was 15 billion and profit was 1.8 billion. The consensus was $4.78 in adjusted earnings per share on $15.6 billion in revenue. For 2023, the company anticipates revenues ranging from 61.5 to 63.5 billion dollars, net profit as CEO ranging from 4.525 to 4.895 billion, and earnings per share housed between 16.4 and 17.6 $.
Colgate-Palmolive lost ground before the stock market on Wall Street, while the American group, a player in consumer products, announced a fourth quarter in line with expectations while deploring difficult macroeconomic conditions. For the fourth quarter, the group posted revenue growth of 5% and an increase of 8.5% in organic sales. Over the year, revenues thus increased by 3%, of which 7% organically. The annual adjusted earnings per share, of $2.97, declined by 7% but came out in line with the group’s guidance and with the consensus. Adjusted EPS for the quarter ended was 77 cents. Colgate-Palmolive’s fourth-quarter sales were $4.63 billion, down from $4.4 billion a year earlier and FactSet consensus $4.59 billion.
Charter Communications gives ground before the stock market on Wall Street. The US cable giant fell short of earnings expectations. The company posted net profit group share of $1.2 billion in the fourth quarter, compared to $1.61 billion over the same period the previous year. EPS came out at $7.79. Analysts tracked by FactSet were expecting $8.83 in earnings per share. Charter also posted adjusted earnings before interest, tax, depreciation and amortization of $5.5 billion, up 2% year-on-year. Quarterly revenue rose 3.5% to $13.7 billion.