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Good morning friends!
Futures are up as traders digest the first batch of big tech earnings.
Let’s get right to it!
Microsoft (MSFT) shares are rallying 7.9% ahead of the open after beating fiscal Q3 expectations on the top and bottom line.
Here’s how the tech giant’s results compared to analysts’ estimates:
For fiscal Q4, Microsoft forecast revenue between $54.85 billion and $55.85 billion, beating expectations for $54.84 billion.
The CFO said, We will continue to invest in our cloud infrastructure, particularly AI-related spend, as we scale to the growing demand driven by customer transformation. And we expect the resulting revenue to grow over time.”
Alphabet (GOOGL) shares are up 0.3% in premarket trade after reporting better-than-expected Q1 results.
Here’s how the company’s results compared to analysts’ estimates:
It was the first time Alphabet has beat expectations since Q4 2021.
YouTube ad revenue was better-than-expected at $6.69 billion while traffic acquisition costs were lower-than-expected at $11.72 billion.
Google’s cloud service turned $7.45 billion in revenue during the quarter, slightly lower than expectations, but the segment was profitable for the first time on record.
The cloud segment generated $191 million in operating income last quarter.
Boeing (BA) shares are up 3% ahead of the open after reporting mixed Q1 results.
Here’s how the plane maker’s results compared to analysts’ estimates:
Sales were up 28% year-over-year with commercial airplane revenue surging 60%.
Boeing said it plans to increase output of its 737 Max planes later this year to 38 a month from 31.
It also plans to increase production of the 787 Dreamliner to five planes per month from 3 currently.
With demand rising, the company expects to deliver a total of 400 to 450 737 planes this year.
The CEO said, “This is an important year for us. As demand surges across our markets, we must focus together on execution and meeting our customer commitments.”
Chipotle Mexican Grill (CMG) shares are up 7.7% in premarket trade after solidly beating Q1 expectations.
Here’s how the restaurant chain’s results compared to analysts’ estimates:
Higher menu prices and lower avocado prices helped improve Chipotle’s profit margins during the quarter.
Same-store sales jumped 10.9% vs 8.6% expected.
Chipotle forecast same-store sales growth in the mid-to-high single digits next quarter and for the full year, in line with expectations.
The company also reiterated its plans to open between 255 and 285 new restaurants this year.
Durable goods orders rose more than expected in March as demand for planes jumped.
The Commerce Department reported durable goods orders rose 3.2% monthly vs expectations for a 0.5% gain.
That increase was led by transportation orders which surged 9.1%.
Excluding transportation, orders rose 0.3% monthly vs estimates for a 0.2% decline.
February’s contraction was revised higher to -1.2% from -1% previously.
Mortgage demand jumped last week despite rates hitting the highest level in a month.
The Mortgage Bankers Association reported total application volume rose 3.7% weekly.
Purchase applications were up 5% weekly and 28% lower year over year.
Refinance applications rose 2% weekly and were down 51% annually.
The average 30-year contract rate rose to 6.55% from 6.43%.