LE - Earnings week ahead: Adobe FedEx Lennar Xpeng Dollar General and more

2023-03-10 15:19:05 ET

Investors will be hoping that a week ending with St. Patrick’s Day can offer some green, with several key earnings results due out. The financial figures will come from major names in the homebuilding, transportation, cloud, manufacturing and retail sectors.

The week starts slowly with a sparse calendar on Monday before rapidly ramping up with updates expected from the likes of Lennar ( NYSE: LEN ), FedEx ( NYSE: FDX ), Dollar General ( DG ), and Adobe ( NASDAQ: ADBE ) mid-week. The week also closes with a number of closely watched reports from international companies like Xpeng ( NYSE: XPEV ) and Deutsche Bank ( DB ).

Below is a curated list of earnings due in the week of March 13 through 17:

Monday, March 13

Buzzfeed ( BZFD )

Buzzfeed ( BZFD ) is due to announce its fourth quarter earnings results after the closing bell on Monday. Shares of the beleaguered media company have fallen about 70% in the past year, plunging even further from their post-SPAC peak.

That said, the stock has surged over 75% higher since the start of 2023, bolstered by investments in AI-driven editorials and a content deal with Meta Platforms . However, Comcast has reportedly trimmed its investment amid the stock’s sudden jump.

• Consensus EPS Estimates: $-0.03
• Consensus Revenue Estimates: $131.25M
• Earnings Insight: Buzzfeed has beaten EPS expectations in 25% of its earnings reports, rising above revenue expectations 50% of the time since going public.

Also reporting: ZIM Integrated Shipping ( ZIM ), Genie Energy ( GNE ), and GitLab ( GTLB )

Tuesday, March 14

Lennar ( LEN )

Lennar ( LEN ) is due to report its fiscal first quarter earnings after the closing bell on Tuesday. Shares of the homebuilding company have climbed over 25% in the past 6 months despite rising mortgage rates . Analysts have trimmed EPS and revenue estimates 10 and 6 times, respectively, in the 90 days ahead of the results. The rally for homebuilders, despite adverse macro data, has put stocks like Lennar in a precarious spot from a technical perspective .

• Consensus EPS Estimates: $1.55
• Consensus Revenue Estimates: $5.99B
• Earnings Insight: Lennar has beaten EPS estimates in 8 consecutive quarters, rising above revenue estimates in 5 of those reports.

Also reporting: Blade Air Mobility ( BLDE ), J. Jill ( JILL ), Guess Inc. ( GES ), Citi Trends ( CTRN ) SentinelOne ( S ), and Canoo ( GOEV )

Wednesday, March 15

Adobe ( ADBE )

Adobe ( ADBE ) is due to disclose its fiscal first quarter earnings after the closing bell on Wednesday. Shares of the California-based software company have fallen about 25% in the past year despite posting a slight gain year to date.

The company announced its intention to acquire software company Figma in late 2022 in a blockbuster $20M deal . The EU has reportedly taken an interest in the deal, as have US regulators . According to Bloomberg, a suit is ready to be filed as early as this month .

Nonetheless, the consensus sell-side rating on the name remains a Buy . According to Bank of America, the company could be a key beneficiary from advancements in AI technology.

• Consensus EPS Estimates: $3.68
• Consensus Revenue Estimates: $4.62B
• Earnings Insight: Adobe has beaten EPS estimates in 8 consecutive quarters, beating revenue expectations in all but two of those reports.

Also reporting: Progressive Corporation ( PGR ), Coupa Software ( COUP ), UiPath ( PATH ), Williams-Sonoma ( WSM ), Five Below ( FIVE ), PagerDuty ( PD ), and Oatly Group ( OTLY )

Thursday, March 16

FedEx ( FDX )

FedEx ( FDX ) headlines the busiest day of the week for earnings, readying its fiscal fourth quarter report for release after the closing bell on Thursday. Shares of the Memphis-based transportation leader have rebounded sharply since an inauspicious September 2022 earnings result .

The company has moved to slash costs significantly in 2023, including cuts to weekend deliveries and a significant headcount reduction affecting white collar workers. Bank of America analyst Ken Hoexter recently upgraded the stock to Buy , telling clients that its cost-cutting focus could boost margins and improve earnings.

However, analysts have pulled back earnings expectations significantly in the 90 days ahead of the results. According to Seeking Alpha data , analysts have trimmed EPS estimates 17 times and revenue expectations 21 times. Shortly before the results, key competitor UPS ( UPS ) reaffirmed its forecast for fiscal year 2023.

• Consensus EPS Estimates: $2.74
• Consensus Revenue Estimates: $22.73B
• Earnings Insight: FedEx has beaten EPS expectations in 4 of the past 8 quarters, beating revenue estimates in 5 of those reports.

Dollar General ( DG )

Dollar General ( DG ) is due to unveil its fiscal fourth quarter results prior to the opening bell on Thursday. The retailer has been in the crosshairs of Ohio regulators in 2023 for deceptive pricing. The stock has declined about 12% to start 2023, extending a deep decline it has seen since its December earnings disappointment .

The company’s preliminary Q4 earnings update posted in late February also reflected disappointing holiday sales . Nonetheless, Placer.ai data suggests discount stores are picking up steam to start the year as consumers tighten their belts.

The upcoming earnings call is  slated to be CFO John Garratt’s final earnings call before he steps down .

• Consensus EPS Estimates: $2.96
• Consensus Revenue Estimates: $10.24B
• Earnings Insight: Dollar General has beaten EPS estimates in 5 of the past 8 quarters and revenue expectations in 7 of those reports.

Also reporting: Eni SpA ( E ), Lithia Americas Corp. ( LAC ), Traeger ( COOK ), Signet Jewelers ( SIG ), Lands’ End ( LE ), RumbleON ( RMBL ),  G-III Apparel ( GIII ), and PLBY Group ( PLBY )

Friday, March 17

Xpeng ( XPEV )

Xpeng Inc. ( XPEV ) is set to post its earnings results before the opening bell on Friday. The Chinese EV manufacturer’s stock has fallen sharply over the past year, declining over 70%. Rising Sino-American political tensions , a pricing war in China between major automakers, and some mixed monthly earnings results have hit the stock in recent months.

However, XPEV has shown significant volatility on earnings days, jumping over 30% after its most recent results. Additionally, the stock is due to be added to multiple major indices in China during the month of March. The automaker is also looking to expand into Europe in 2023, according to announcements made in January .

• Consensus EPS Estimates: $-0.34
• Consensus Revenue Estimates: $776.06M
• Earnings Insight: Xpeng ( XPEV ) has beaten EPS and revenue estimates in 6 and 5 of the past earnings reports, respectively.

Also reporting: Deutsche Bank ( DB ), Waterdrop Inc. ( WDH ), and Tuniu Corporation ( TOUR )

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