Zacks analyst blog spotlights Netflix Inc, Tesla, Dow, Freeport-McMoRan and Newmont

For immediate release

Chicago, IL – April 20, 2022 – Zacks.com announces the list of stocks featured in the analyst blog. Every day, Zacks Equity Research analysts discuss the latest news and events impacting stocks and financial markets. Stocks recently featured in the blog include: Netflix Inc. NFLX, Tesla Inc. TSLA, Dow Inc. DOW, Freeport-McMoRan Inc. FCX and Newmont Corp. NMS.

Here are the highlights from Tuesday’s analyst blog:

The 5 US giants most likely to win big on Q1 earnings this week

The first-quarter 2022 earnings season will ramp up this week as more than 250 companies are expected to release their quarterly numbers. US corporate earnings results are expected to return to normal after last year’s stunning growth. The results of 2021 were favorably impacted compared to the blockages caused by the pandemic in 2020.

This week, five American behemoths are expected to beat earnings estimates. Investing in these stocks should pay off in the short term. These are Netflix Inc., Tesla Inc., Dow Inc., Freeport-McMoRan Inc. and Newmont Corp.

Early-stage first-quarter results

As of April 14, 35 S&P 500 companies have released their results. Year over year, total profits for these companies fell 17.6%, while revenues increased 8.8%. Additionally, 80% of these companies have exceeded profit and revenue estimates. For the first quarter as a whole, total earnings for the S&P 500 are expected to rise 4.3% year-over-year on revenue up 10%.

Our choice

Five US giants will release their first quarter 2022 results this week. Each of these stocks carries either a Zacks rank of No. 1 (strong buy) or 3 (hold) and has a positive ESP Earnings. You can see the full list of today’s Zacks #1 Rank stocks here.

Our research shows that for stocks with the combination of a Zacks #3 or higher ranking and a positive ESP on earnings, the probability of an earnings overshoot is as high as 70%. These shares should appreciate after the publication of their results. You can discover the best stocks to buy or sell before they’re flagged with our Income ESP filter.

netflix is expected to dominate the streaming space, thanks to its diverse content portfolio. This is mainly due to heavy investments in the production and distribution of localized and foreign language content.

NFLX’s efforts to attract viewers by investing in more regional programming has greatly expanded its user base. Additionally, partnerships with major telecommunications carriers across the world are expected to improve Netflix’s subscriber base in international markets.

NFLX has an ESP of +0.91%. The company recorded earnings surprises in three of the last four reported quarters, averaging 26.7%. The Zacks Rank #3 Netflix is ​​about to be released earnings results April 19, after the closing bell.

You’re here has gained a substantial market share in the electric car segment. The increase in Model 3 delivery, which constitutes a significant portion of TSLA’s overall deliveries, is contributing to its revenue. Along with Model 3, Model Y contributes to its income. The global automotive industry is gradually moving towards electric vehicles. Tesla stands to be the biggest beneficiary of this trend.

Despite the chip crisis, Tesla announced record shipments of 310,048 units for the first quarter of 2022. In addition, TSLA’s energy generation and storage revenues are increasing, thanks to the positive reception of Megapack and Powerwall products .

Tesla has a gain ESP of +10.21%. It has an expected earnings growth rate of 45% for the current year. The Zacks consensus estimate for current-year earnings has improved 3.6% over the past 30 days.

TSLA has recorded earnings surprises over the past four reported quarters, averaging 33.3%. Zacks Rank #3 company is about to be released earnings results April 20, after the closing bell.

Dow should benefit from cost savings and productivity initiatives. Dow is focused on maintaining operational and cost discipline through cost synergy and cost lock-in initiatives. Measures to reduce operating costs should support DOW earnings in 2022.

Dow’s restructuring program should also generate profit margins. Investments in high-return projects should also be accretive to its earnings. Management is investing in several high yield growth projects, including the expansion of downstream silicone manufacturing capacity.

Dow has an ESP on earnings of +5.45%. The Zacks consensus estimate for current-year earnings has improved 7.8% over the past 30 days. DOW has posted earnings surprises over the past four reported quarters, averaging 11.1%. Zacks Rank #1 company is about to be released earnings results April 21, before the opening bell.

Freeport-McMoRan conducts exploration activities near existing mines in order to increase reserves. FCX should benefit from the progression of exploration activities which will increase production capacity. Freeport’s Lone Star project offers additional benefits.

FCX is also well positioned to benefit from automotive electrification, which is positive for copper as EVs are copper-intensive. The rise in copper prices should also support its margins. Freeport’s efforts to reduce debt are also encouraging.

Freeport has an ESP on earnings of +5.07%. It has an expected profit growth rate of 23.3% for the current year. The Zacks consensus estimate for current-year earnings has improved 0.8% over the past 30 days.

FCX has posted earnings surprises in three of the last four quarters reported, averaging 4.6%. Zacks Rank #3 company is about to be released earnings results April 21, before the opening bell.

Newmont made significant progress in its growth plans. NEM is likely to benefit from a number of projects, including the expansion of Tanami, Yanacocha Sulfides and Ahafo North. The merger with Goldcorp should create value for Newmont’s cash flows and generate significant synergies. NEM remains focused on improving operational efficiency.

Newmont has an ESP on revenue of +8.37%. He forecasts a profit growth rate of 15.5% for the current year. The Zacks consensus estimate for current-year earnings has improved 0.6% over the past 7 days. Zacks Rank #3 company is about to be released earnings results April 22, before the opening bell.

Stay up to date with upcoming results announcements with the Zacks Earnings Schedule.

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Past performance is not indicative of future results. The potential for loss is inherent in any investment. This document is provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold any security. No recommendation or advice is given as to whether any investment is suitable for any particular investor. It should not be assumed that investments in the securities, companies, sectors or markets identified and described have been or will be profitable. All information is current as of the date hereof and is subject to change without notice. The views or opinions expressed may not reflect those of the company as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management of securities. These returns come from hypothetical portfolios composed of stocks with Zacks Rank = 1 that have been rebalanced monthly without transaction fees. These are not the returns of actual stock portfolios. The S&P 500 is an unmanaged index. To visit https://www.zacks.com/performance for more information on the performance figures displayed in this press release.

Zacks names ‘only one best choice for doubling up’

From thousands of stocks, 5 Zacks experts have each picked their favorite to skyrocket by +100% or more in the coming months. Of these 5, Research Director Sheraz Mian selects one to have the most explosive advantage of all.

It’s a little-known chemical company that’s up 65% year-on-year, but still very cheap. With relentless demand, rising earnings estimates for 2022 and $1.5 billion for stock buybacks, retail investors could step in at any time.

This company could rival or surpass other recent Zacks stocks that are expected to double, such as Boston Beer Company which jumped +143.0% in just over 9 months and NVIDIA which jumped +175.9% in one. year.

Free: See our best stock and our 4 finalists >>

Click to get this free report

Netflix, Inc. (NFLX): Free Stock Analysis Report

FreeportMcMoRan Inc. (FCX): Free Stock Analysis Report

Dow Inc. (DOW): Free Stock Analysis Report

Newmont Corporation (NEM): Free Stock Analysis Report

Tesla, Inc. (TSLA): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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