US: Earnings Summary 16. May

Trimble showed a strong turnaround in the first quarter: revenue grew 11.8% and operating profit by a massive 47.7%. Results were driven by architecture, engineering, construction, and operations (AECO) software and recurring revenue growth. Despite strong numbers and raised full-year guidance, the stock fell 11.1% during the earnings week, reflecting market concerns about the sustainability of short-term growth momentum.

Mettler Toledo increased its operating profit by 4.0% due to efficiency improvements, although revenue growth slowed to 7.2%. The company also raised its full-year profit guidance. Nevertheless, the stock fell 10.8% during the earnings week as investors focused on a weaker-than-expected second-quarter outlook, which points to slowing growth.

Cybersecurity provider Gen Digital's revenue grew 33% and operating profit 15.2%, supported by high demand for Norton and LifeLock services. However, net profit fell 66% due to restructuring costs. Investors still focused on the positives, and the stock rose 15.5% during the earnings week, trading near its 52-week high.

Healthcare giant CVS Health reported a strong profit turnaround. Operating profit grew 38.7%, primarily due to better cost control in the Aetna insurance business and the absence of last year's one-off costs. The company also raised its full-year profit guidance. Supported by strong results, the stock rose 10.3% during the earnings week and reached a new 52-week high.

Bio-Techne's operating profit nearly doubled, but this was mainly due to asset sales and cost cuts. At the same time, the company's revenue fell 1.5%, which disappointed investors. The market considered the sales decline more important than the apparent profit growth, and the stock dropped 12.1% during the earnings week, reaching a new 52-week low.

Constellation Energy's operating profit grew explosively by 323.5% and revenue by 63.8% thanks to the acquisition of Calpine. Despite exceptionally strong results, the stock fell 11.9% over the week, as much of the good news was already priced into the stock and the market took profits.

Expedia Group reported its best first-quarter profitability in history, turning last year's loss into a $251 million operating profit. Revenue grew 14.7%, driven by the rise of the B2B segment. Although the results were strong, management left the full-year guidance unchanged, which disappointed the market. The stock fell 6.7% during the earnings week.

Pharmaceutical wholesaler Cencora's operating profit grew 10%, but revenue growth slowed to just 3.8%, falling short of expectations. Additionally, operating expenses grew significantly faster than revenues. Due to disappointing revenue and reports of a securities fraud investigation, the stock fell sharply by 14.1% during the earnings week.

Zebra Technologies showed a clear turnaround for the better. The company's operating profit returned to a 10.3% growth, supported by strong demand in the manufacturing sector. This alleviated earlier concerns about profitability. Investors received the news well, and the stock rose 14.7% over the week, recovering from previous lows.

Networking equipment manufacturer Cisco exceeded expectations as the AI boom increased demand for data center equipment. Revenue grew 12.1% and operating profit 25.4%. The company also raised its future guidance. Supported by strong news, the stock rallied 22.4% over the week to a new record high, reflecting high investor optimism.

Energy drink manufacturer Monster Beverage's growth continued strongly. Revenue grew 26.9% and operating profit 28.1%, outperforming competitors. Growth was driven by a 28.8% increase in energy drink sales volume. Additionally, the company announced a new share buyback program. The stock rose 14.7% during the earnings week and reached a new 52-week high.