7 Stocks Reporting Earnings the Week of Sept. 19

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  • Here are seven stocks reporting earnings the week of Sept. 19. Investors should watch these companies to see how the earnings season is wrapping up.
  • AutoZone (AZO): The auto parts retailer should provide an indication of vehicle demand in the U.S.
  • Aurora Cannabis (ACB): The Canadian cannabis company continues to struggle with declining sales and high taxes.
  • General Mills (GIS): The food company has proved resilient despite rising consumer prices this year.
  • Lennar (LEN): Can the second-largest homebuilder in the U.S. weather a slump in housing demand?
  • Costco (COST): The big-box retailer continues to attract customers with cheaper gasoline and groceries.
  • FedEx (FDX): The first earnings report and analysts call for a new chief executive officer.
  • Accenture (ACN): The IT consulting company’s stock has been crushed in this year’s tech wreck.
earnings - 7 Stocks Reporting Earnings the Week of Sept. 19

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Earnings for the April through June period of this year conclude this week with prints from several notable companies, including a major big-box retailer, shipping company and automotive firm.

Corporate earnings for the second quarter held up fairly well, with 75% of companies listed in the benchmark S&P 500 index reporting better-than-expected earnings per share, and 70% announcing better revenues. This is despite continued economic headwinds in the form of inflation, rising interest rates, war in Europe, and ongoing logistic and supply chain problems.

Going forward, it will be interesting to see if Corporate America can continue to remain resilient in the face of darkening economic skies. Of course, if we enter a recession as many economists forecast, all bets will be off. Here are seven companies reporting earnings the week of Sept. 19.

AZO AutoZone $2,167.01
ACB Aurora Cannabis $1.46
GIS General Mills $75.48
LEN Lennar $75.68
COST Costco $505.50
FDX FedEx $162.33
ACN Accenture $274.75

Stocks Reporting Earnings: AutoZone (AZO)

An AutoZone (AZO) storefront in Saint Augustine, Florida.
Source: Robert Gregory Griffeth / Shutterstock.com

The week begins with a print from the largest retailer of aftermarket automotive parts and accessories in the U.S.

Memphis, Tennessee-based AutoZone (NYSE:AZO) has fared better than most this year, having gained 3% in the year to date. The company continues to benefit from a strong car market, particularly for used or second-hand vehicles that consumers are turning toward as prices for new cars, trucks and SUVs continue to climb higher.

Analysts who cover AutoZone expect the company to report earnings per share of $38.38 and revenues of $5.15 billion when it reports on Sept. 19. Industry observers will also be watching the results closely for any signs that the auto industry is beginning to slow down and succumb to inflationary pressures.

There also continues to be speculation that management might announce a stock split given that AZO shares are currently trading above $2,000.

Aurora Cannabis (ACB)

A close-up shot of hands holding a grinder with cannabis buds in the background representing aurora stock.
Source: Shutterstock

Earnings reports have been cause for dread at Canada’s Aurora Cannabis (NASDAQ:ACB) over the past year. The struggling cannabis retailer has seen its stock decimated this year, down 73% since January. At the end of June, the company announced that it is cutting 12% of its workforce as it seeks to achieve $90 million in annual cost savings.

Prior to the job cuts, Aurora Cannabis announced plans to close three manufacturing plants, as well as an outdoor grow site. Like all legal cannabis companies in neighboring Canada, Aurora continues to struggle with a robust black market for the recreational drug, as well as slumping demand and high government taxes on its products. Analysts forecast that Aurora Cannabis will report an earnings per share loss of 16 cents on revenues of $38.74 million when it announces its latest numbers. Some analysts also expect further downsizing.

Stocks Reporting Earnings: General Mills (GIS)

A General Mills (GIS) sign on a General Mills office in Ontario, Canada.
Source: JHVEPhoto / Shutterstock.com

Food giant General Mills (NYSE:GIS) has been one of the better investments anyone could have made this year. Its stock has gained a robust 11% since January. Most investors would kill for that kind of return in this downbeat market.

The Minneapolis-based company’s wide variety of brands, which include Betty Crocker baking, Annie’s macaroni and cheese, and Cheerios cereal, have proven resilient to inflation.

Many analysts are touting General Mills as a strong and reliable value stock that is ideal for these troubled times. In addition to its share price appreciation this year, the company pays a safe and hearty dividend that currently yields 2.9%, and the company is buying back nearly $1 billion of its own shares.

Analysts anticipate that General Mills will report quarterly earnings per share of $1 on revenues of $4.7 billion when it reports on September 21.

Lennar (LEN)

Lennar (LEN) website homepage. Lennar logo visible on the phone screen
Source: madamF via Shutterstock

The U.S. housing market is slumping amid higher mortgage rates. The latest numbers showed that weekly mortgage demand fell 1.2% as the average mortgage rate in the U.S. topped 6%. On a year-over-year basis, mortgage demand is down 29%. This is not good news for Lennar (NYSE:LEN), the second-largest home construction company in the U.S.

The housing downturn may explain why Lennar stock has declined 36% this year. The company will be seeking to reassure nervous shareholders and analysts that it can continue to build new homes as demand softens across the country. This is no easy task considering that interest rates are widely expected to continue rising through the remainder of this year and into 2023. Wall Street is looking for Lennar to report earnings per share of $4.91 on revenues of $9.03 billion.

Stocks Reporting Earnings: Costco (COST)

Costco logo on a sign on a Costco store.
Source: ARTYOORAN / Shutterstock.com

Big-box retailer Costco’s (NASDAQ:COST) earnings are always carefully parsed by investors and analysts. Not only do the financial results demonstrate how the Seattle-based company is performing, they also serve as a bellwether for how consumer spending is holding up. Costco has managed to offset some of the impacts of inflation by selling gasoline that is cheaper than at most competing locations, as well as more affordable items ranging from milk to meat. However, the company has not been completely immune to the effects of higher consumer prices.

So far this year, COST stock has declined 11% to trade just under $510 a share. Even with the decline, the stock continues to look somewhat expensive with a price-earnings (P/E) ratio of 40x. Still, the company and its stock should come through the current market turmoil in fine shape. Costco’s earnings have held up reasonably well this year, with the company previously reporting that its revenue increased 16% year over year to $52.6 billion and its earnings per share grew 10.5% to $3.04.

Analysts expect Costco to report earnings per share of $4.16 on revenues of $72.06 billion when it announces its financial results Sept. 22.

FedEx (FDX)

A FedEx employee loads a FedEx Express truck in Manhattan.
Source: Antonio Gravante / Shutterstock.com

It’s a new era at shipping and logistics company FedEx (NYSE:FDX) with newly installed chief executive officer Raj Subramaniam. In fact, Subramaniam is the first new CEO that FedEx has ever had following the retirement of Fred Smith, who started the company back in 1973. However, Subramaniam has quickly put his stamp on FedEx, announcing shortly after assuming the CEO role that he is hiking the company’s dividend by 53%.

As the new head of the company, Subramaniam must convince Wall Street that FedEx can continue to thrive coming out of the pandemic. So far this year, FDX stock has fallen 37% on growing concerns about waning demand, as well as the impacts of higher fuel costs and war in Europe on the company’s bottom line. Look for Subramaniam to reassure investors when FedEx announces its results on Sept. 22.

Analysts have forecast that FedEx will announce earnings per share of $5.14 and revenues of $23.58 billion.

Stocks Reporting Earnings: Accenture (ACN)

A photo of the Accenture (ACN) logo in silver and white on a silver, reflective wall outside a building.
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Irish company Accenture (NYSE:ACN), which is focused on information technology services and consulting, has seen its stock knocked down 32% this year. However, with 710,000 employees worldwide and annual revenues in excess of $50 billion, nobody should count Accenture down and out. The company’s earnings and revenues are forecast to grow 21.4% and 21.9% respectively this year.

Plus, Accenture continues to grow through a series of international acquisitions. The company’s previous earnings disappointed, but the poor performance was mostly due to its operations in Russia, which took a hit following that country’s invasion of Ukraine. Accenture has since announced that it is discontinuing all of its operations in Russia. Analysts have penciled in that Accenture will report earnings per share of $2.58 on revenues of $15.4 billion.

On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.


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