Following a series of earnings report from top technology stocks such as Amazon (NASDAQ:AMZN), Microsoft (NASDAQ:MSFT), Netflix (NASDAQ:NFLX), and Google (NASDAQ:GOOGL) during the past week, big cap stocks such as Apple (NASDAQ:AAPL) and Facebook (NASDAQ:FB) are set to deliver their respective quarterly earnings report this week as the earnings season continue to push through.
The iPhone-maker will deliver its fiscal fourth-quarter earnings results on Thursday. Following the release and unveiling of the iPhone 8 and 8 Plus a few months ago and the release of the iPhone X later in November, the company is expected by most investors to post a growth in their revenue.
During their third fiscal quarter report, the company posted earnings of $1.67 per share on a revenue of $45.5 billion representing a growth of 7% growth and beating most estimates of $45.5 billion for the third fiscal quarter. Most of the company’s revenue growth from the two past quarters were driven by the robust growth of their services sector which is composed primarily of Apple’s App Store, Apple Music, and Apple Pay. the optimism surrounding the release of the tenth anniversary iPhone have also led Apple’s stock to rally in the past couple of months.
For the fourth-quarter, Apple is set to deliver a revenue of $49 billion to $53 billion compared to their revenue of $49.6 billion during the same quarter a year ago which represents a growth of 7.7%.
A number of analysts are not expecting sales of the iPhone to contribute a huge percentage to their third quarter revenue due to recent reports from distributors stating that the iPhone 8 and 8 Plus released late in September has not been receiving the expected demand despite most of the markets expecting the numbers to be smaller as they awaited the release of the iPhone X.
Facebook is scheduled to release its earnings report for the fiscal quarter ending in September on Wednesday’s market close. The company last posted its second quarter earnings back in July. For the second quarter, Facebook delivered robust earnings with their revenue at $9.32 billion beating most forecasts of $9.2 billion while their earnings came at $1.32 per share compared to consensus estimates of $1.13 EPS. For the past couple of quarters, Facebook’s revenue has grown at a rate of around 45% to as much as 59%.
The social media giant which has now more than 1 billion daily active users has also recorded a growth of 71% in their quarterly profits during the previous quarter with its Messenger and Instagram department contributing massive growth individually. Facebook has also expanded the number of ways it monetizes advertisements starting with video ads that can be seen in any videos that appear on a user’s news feed.