Yahoo Finance Trending tickers: Tesla, ASML, Netflix and Royal Mail
The latest investor updates on stocks that are trending on Wednesday
Tesla (TSLA)
Tesla is set to post fourth-quarter earnings today after the closing bell in Wall Street, following record-high deliveries.
For the fourth quarter, Tesla is expected to report top-line revenue of $25.87bn, a 6.4% rise from a year ago. Earnings per share are projected at 73 cents, translating to adjusted net income of $2.61bn, a 38% decrease year-on-year.
Tesla's stock has fallen 14.6% since the start of the year, the worst among the 'Magnificent Seven', due to a price war aimed at boosting sales amidst rising competition.
ASML (ASML)
Shares in the Dutch chip equipment maker surged over 6% after it reported fourth quarter profits that beat estimates.
Net profit at Europe's biggest technology company by market value rose 9% to €2bn (£1.7bn/$2.2bn) on sales of €7.2bn in the fourth quarter.
Net sales for the fourth quarter rose 12.5% year-on-year, while the company reported a gross margin of 51.4% in the fourth quarter.
The company said it was maintaining a “conservative view” for the year and expects 2024 revenue similar to 2023, when ASML reported revenue of €27.56bn.
Read more: LIVE: FTSE and European stocks rise despite cut in Germany's growth forecast
The Dutch company makes a machine required in the manufacturing of the world’s most advanced chips.
“ASML appears to have a promising 5-8 years ahead, capitalising on the EUV wave and the ongoing trend in fab capacity expansion and construction,” Albie Amankona, analyst at Third Bridge, said.
Netflix (NFLX)
Netflix added more than 13 million subscribers for the quarter, compared to Wall Street’s expectation of 8.7 million.
Netflix finished 2023 with 12% revenue growth, up from 6% growth in 2022. The company posted revenue of $8.8bn for the fourth quarter.
The streaming giant said its operating income surged to $1.5bn in the quarter from $550m a year earlier, driven to higher revenue and “lower than planned” spending.
“Netflix’s latest numbers shake off any suggestion the company is struggling to find new ways to grow. It has seen a big jump in the number of subscriptions and its original content is proving to be popular with consumers, even receiving 18 Oscar nominations this week across 10 of its original content films,” AJ Bell investment director Russ Mould, said.
In its shareholder letter, Netflix expects "healthy double digit revenue growth" in the coming year and "continued record membership growth
Overall, Netflix currently has 260 million subscribers worldwide.
Royal Mail (IDS.L)
Shares in Royal Mail’s parent company, International Distributions Services, have jumped 5%, as traders consider the savings it could make from fewer deliveries.
Regulator Ofcom has said cutting Royal Mail’s six-day a week letter deliveries to five days or three days could save between £100m and £650m.
“There was some cheer for bosses at Royal Mail owner International Distributions Services as regulators said it could possibly reduce its delivery days for the privatised UK postal service to three days a week,” Mould said.
“This would significantly reduce costs, although it would likely face opposition from unions and see the company come under significant political pressure if it were to take such drastic action,” he added.
The Royal Mail’s universal service obligation (USO) stipulates that it must deliver letters six days a week to all 32 million addresses in the UK for the price of a stamp, no matter where the letters are going.
Watch: Tesla Q4 earnings preview: What investors are expecting
Download the Yahoo Finance app, available for Apple and Android.
