AI Earnings Season: What to Expect in the Next Two Weeks

The next two weeks will be critically important for technology companies and the artificial intelligence investment cycle, as leading tech giants prepare to publish their quarterly financial results.

Numerous interesting investment opportunities will arise on the stock market in the coming days, so today we will tell you how to prepare for the quarterly results and what investors will place great importance on.

Investors will monitor the financial results of Google, Microsoft, Meta, Apple, and Amazon with particular attention. They will also look closely at whether tech companies intend to maintain aggressive capital expenditures in AI and data centers.

What Investors Are Watching:

To confirm the thesis that demand for data centers, chips, communication networks, memory, and cooling systems will remain high next year as well, the market will monitor several factors:

Growing demand for cloud services and active use of AI – for this, it is essential that AWS, Azure, and Google Cloud show high growth results.

Growing portfolio of pre-orders and existing delivery results – investors want to ensure that demand for computing power is guaranteed to be high in the future.

Results of the semiconductor sector – investors will assess the financial statements of Texas Instruments, Lam, Intel, and Qualcomm with particular strictness, as maintaining a high growth dynamic in this sector is essential to sustain the AI megatrend.

Analysts’ Expectations:

According to leading Wall Street analysts, the technology sector will experience exceptional growth dynamics over the next 12 months. This is supported by the fact that the average growth forecast for the Nasdaq-100 Index on Wall Street is around 27%.

As for the semiconductor sector itself, analysts expect a 31% annual growth rate regarding the iShares Semiconductor ETF (SOXX).

Regarding the technology companies in the spotlight over the next two weeks, experts have the following one-year forecasts:

Google: +26%

Amazon: +29%

Microsoft: +42%

Meta: +26%

Lam: +24%

Intel: +15%

You will find forecasts for other leading companies in TBC Mobile Bank, on the investment discovery page, and directly in the descriptions of your desired stocks.

What Could Happen in the Coming Days:

Positive Scenario: Maintaining or increasing the capital expenditure forecast will reinforce expectations that investments in AI infrastructure will grow, which is a positive signal for the market. If the growth rate of tech giants' financial results is better than expected, this will likely give the industry a positive momentum.

Negative Scenario: Any significant reduction or slowdown in capital expenditures will call into question the current growth rate and forecasts of the entire technology sector. If major companies show lower-than-expected growth rates, this will negatively impact their stock valuations.

Prepare for Quarterly Results

In the TBC App, you will find analysts' forecasts, as well as company financial metrics, recommendations from leading investment banks, and the stocks of all those companies that will be in the spotlight of investors over the next two weeks. So, do not delay—start investing even from $1.