Torsten Asmus
Wall Street’s major averages on Friday pared back a chunk of their losses, though sentiment overall remained subdued after Israel attacked some of Iran’s nuclear sites and military targets, raising fears of an all-out war in the Middle East.
Israel late on Thursday hit Iran with a series of what it called “preemptive” strikes. Iran retaliated by launching over 100 drones at Israel overnight. Israeli airspace has been closed, and a state of emergency has been declared amid expectations of another counterattack.
Amidst geopolitical tensions, all three out of the three S&P 500 companies that reported earnings this week, delivered EPS wins.
Earnings Roundup:
Let’s take a look at the quarterly performance of the companies that reported earnings this week.
Adobe (ADBE)’s second quarter fiscal 2025 financial results easily surpassed expectations. The company also increased its guidance due to widespread adoption of its artificial intelligence offerings.
For the quarter ended May 30, the software giant reported adjusted earnings per share of $5.06, which was more than the consensus estimate of $4.97. It reported GAAP EPS of $3.94, which surpassed the estimate of $3.87.
J.M. Smucker (SJM) posted a mixed FQ4 earnings report. Sales were down 3% during the quarter to $2.1 billion. The 1% decrease in comparable net sales reflected a 3 percentage point decrease from volume/mix, primarily driven by decreases for dog snacks, sweet baked goods, lower contract manufacturing sales related to the divested pet food brands, and fruit spreads.
Oracle (ORCL) fiscal fourth-quarter results that topped estimates and offered a robust outlook for fiscal 2026.
For the period ending May 31, Oracle said it earned an adjusted $1.70 per share as revenue rose 11% year-over-year to $15.9B. Analysts expected the company to earn an adjusted $1.64 per share on $15.58B in revenue.
Earnings next week:
Around six companies are set to report earnings next week. These include Accenture (NYSE:ACN), Carmax (NYSE:KMX), Jabil (NYSE:JBL), Kroger (NYSE:KO), and Lennar Corp (NYSE:LEN).