Four more of the “Magnificent 7” are to due to report in the coming week, along with a raft of major companies across a range of sectors.
Following on from Tesla (TSLA) and Alphabet (GOOGL, GOOG) earnings this week, Microsoft (MSFT), Meta (META), Apple (AAPL) and Amazon (AMZN) are next up from the Mag 7 to report.
On the London market, Shell (SHEL.L) is due to report, having already flagged weaker trading and production for its integrated gas division in the second quarter.
Another FTSE 100-listed (^FTSE) giant reporting in the week ahead is pharmaceuticals company AstraZeneca (AZN.L), which has just pledged $50bn of investment in its US operations.
Meanwhile, HSBC (HSBA.L) will be the latest UK-listed bank to report, following on from Lloyds (LLOY.L) and NatWest (NWG.L) this week.
Here's more on what to look out for:
Tech companies are continuing to cut jobs to reduce costs and streamline operations. This includes Microsoft (MSFT), which recently revealed that it was cutting another 9,000 jobs globally, not long after it axed around 6,000 roles in May.
And in a memo to staff on Thursday, CEO Satya Nadella admitted that the recent layoffs had been “weighing heavily” on him. “These decisions are among the most difficult we have to make,” he said. “They affect people we’ve worked alongside, learned from, and shared countless moments with — our colleagues, teammates, and friends.”
He acknowledged that by “every objective measure, Microsoft is thriving — our market performance, strategic positioning, and growth all point up and to the right.”
However, Nadella added: “This is the enigma of success in an industry that has no franchise value. Progress isn’t linear. It’s dynamic, sometimes dissonant, and always demanding.”
Despite the recent layoff announcements, Microsoft (MSFT) shares have climbed since the company released third quarter results at the end of April and are currently up 21% year-to-date.
The company beat expectations in the third quarter, reporting revenue of $70bn (£52.1bn) compared to forecasts of $68.4bn, according to Bloomberg consensus estimates. Earnings per share of $3.46 also beat estimates of $3.21.
Read more: Tesla disappoints while Alphabet tops expectations to kick off Mag 7 earnings
Matt Britzman, senior equity analyst at Hargreaves Lansdown, said: “Microsoft is the king of quietly going about its business and nailing execution along the way.”
He said cloud performance through Microsoft Azure was stronger than expected last quarter “and there could be some upside to guidance of 34-35% growth in next week’s fourth-quarter results if it’s been able to bring more supply online.”
