October 24th – 28th Earnings Basket Weekly Uptrend Opportunity based On 1.00 Lot Calculation:
EARNINGS SEASON OCTOBER 24 – 28
|
Company |
Ticker |
Sectors |
Earnings Date |
Time |
|
Alphabet |
|
Technology: Internet Search Engine |
October 25 |
Aftermarket |
|
Microsoft |
#MICROSOFT |
Technology: Software |
October 25 |
Aftermarket |
|
Apple |
#APPLE |
Technology: Communication Equipment |
October 27 |
Aftermarket |
|
ExxonMobil |
#EXXONMOBIL |
Energy |
October 28 |
Premarket |
Source: Bloomberg
- EVENT: Q3 EARNINGS SEASON. The four stocks of consideration are scheduled to report their Q3 earnings in late October (October 24-28).
- BLUE CHIP COMPANIES: The stocks belong mostly to the Technology Industry. They are all components of S&P 500, while Apple and Microsoft are also part of the prestigious Dow Jones Industrial Index.
- STATISTICS RELATED TO EARNINGS AND REVENUE: According to Bloomberg, the basket has beaten earnings and revenues expectations collectively 84% and 78% of the time over the last 8 quarters, respectively.
- PRICE ACTION: The Tech industry has undergone a downward correction over the past few months: Apple has fallen to its lowest since June 2021; Alphabet has fallen to its lowest since February 2021; Microsoft has fallen to its lowest since January 2021;
HISTORICAL PERFORMANCE (PAST 8 QUARTERS): EARNINGS and REVENUE
|
Company |
Earnings Beats Expectations |
Revenues Beats Expectations |
|
Alphabet |
6 of 8 |
6 of 8 |
|
Microsoft |
7 of 8 |
7 of 8 |
|
Apple |
7 of 8 |
7 of 8 |
|
ExxonMobil |
7 of 8 |
5 of 8 |
Source: Bloomberg
STOCK PRICE REACTION: BASED ON STATISTICAL ANALYSIS (PAST 8 QUARTERS)1
|
Downside potential |
Upside Potential |
|
-4.18% |
+7.20% |
|
Potential Profit/Loss on 1 lot of every stock in the basket2 |
|
|
-$15,276 |
+$26,340 |
|
-€15,523 |
+€26,766 |
|
-£13,507 |
+£23,289 |
|
-C$21,022 |
+C$36,247 |
Data Source on Stock Returns and Volatility: Bloomberg
TARGET LEVELS: SUPPORT AND RESISTANCE
|
Company |
Support |
Current Price |
Resistance |
|
Alphabet |
97.70 |
102 |
109.40 |
|
Microsoft |
230.00 |
240 |
257.30 |
|
Apple |
138.00 |
144 |
154.40 |
|
ExxonMobil |
96.80 |
101 |
108.30 |
Note: Support and Resistance Levels have been calculated by using upside and downside potential figures.
Please note that past performance does not guarantee future performance.
1-Calculation Downside/Upside Potential: Average price reaction for all four stocks from 6 trading sessions prior to the earnings date release for the last 8 quarterly earnings releases.
2- Profit/Loss Calculation: Based on 1 lot on each of the four stocks (4 lots). Range: based on the statistical analysis.
- Alphabet and Apple: 1.00 lot is equivalent to 100 units. Microsoft and ExxonMobil: 1.00 lot is equivalent to 1000 units.
- Calculations for exchange rate used as of 10:40 (GMT+1) 18/10/2022.
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