Constellation Software, already pushing toward its 52-week high, may head skyward Thursday after an earnings beat.
The software aggregator said after markets closed Wednesday that its first-quarter earnings per share were $6.73 (U.S.), versus consensus of $5.94 (U.S.), according to Thomson Reuters I/B/E/S. Revenue of $719 million (U.S.) beat the analysts’ average expectation of $687.5 millio (U.S.).
The company’s top line gained 29 per cent, prompted by its acquisitions-driven model; “organic” revenue growth, designed to show the performance at its portfolio of companies, was 5 per cent.
Constellation’s stock is up more than 17 per cent year to date, ranking it in the top 20 of the nearly 250 companies in the S&P/TSX Composite.
Goldcorp Inc. reported 8 cents (U.S.) of earnings per share, missing consensus expectations of 11 cents (U.S.), according to Thomson Reuters I/B/E/S. It reconfirmed its 2018 production guidance.
Meanwhile, Lundin Mining Corp. reported revenue of $470.5 million (U.S.), under the I/B/E/S number of $478.3 million (U.S.). EPS of 11 cents (U.S.) topped the 9-cent (U.S.) consensus.
The two are part of a wave of mining earnings this week; New Gold Inc. was scheduled to release results Wednesday evening, while Denver’s Newmont Mining Corp. joins in on Thursday morning. Analysts expect Newmont to post EPS of 33 cents (U.S.) on just over $1.84 billion (U.S.) in revenue. Agnico Eagle Mines Ltd., Eldorado Gold Corp., and Equinox Gold Corp. follow Thursday after the markets close.
Late Wednesday, tool/auto-parts maker Exco Technologies Ltd. reported 25 cents EPS, below consensus of 26 cents, according to Thomson Reuters I/B/E/S. Revenue of $148.4 million topped average consensus of $144.6 million.
Other Canadian names expected Wednesday evening were Aecon Group Inc., Choice Properties REIT, Methanex Corp., Toromont Industries Ltd., West Fraser Timber Co. Ltd. AMC; and Mullen Group Ltd.; AMC.
Mullen’s earnings are the lead-in to a number of other releases Thursday in the Canadian energy and utilities sectors. Before markets open Thursday, AltaGas Ltd., Husky Energy Inc.; and Precision Drilling Corp. will report.
Analysts have been boosting their estimates for Husky, with a 49 per cent average increase in EPS in the last week, according to Thomson Reuters Eikon. Current consensus is EPS of 22 cents on just over $5 billion in revenue; the company has beaten in five of the past eight quarters.
AltaGas is expected to post 38 cents on $795 million in revenue; it has a four-quarter beat streak. Precision Drilling is expected to report a 7-cent loss on $390 million in revenue.
There will be lots of action in the U.S. Thursday as well.
Facebook Inc.’s quarterly profit and revenue beat analysts’ estimates on Wednesday, as the social media company’s mobile ad business grew on a major push to add more video content. Shares of the company, which have fallen 9.5 percent this year, were up nearly 7 per cent after the bell. The company reported EPS of $1.69 (U.S.) per share; analysts on average were expecting a profit of $1.35 (U.S.) per share. Total revenue rose 49 percent to $11.97 billion (U.S.), above the analyst estimate of $11.41 billion (U.S.).
Chipotle Mexican Grill Inc. jumped 10 percent in after-hours trading on Wednesday as it reported sales at established restaurants and profit for the first quarter that beat expectations
PayPal Holdings Inc. reported first-quarter profit that beat Wall Street estimates on Wednesday as the payment processor benefited from higher volumes of mobile payments and a strong merchant services business.
Shares of the company, which closed down 1.7 percent, rose 3.3 per cent to $76.43 (U.S.) after the bell.
The chipmakers pleased the Street Wednesday in the post market, with Advanced Micro Devices jumping 7 per cent and Qualcomm rising 2 per cent in early after-market trading after earnings beats.
AT&T Inc. reported first-quarter profit that missed Wall Street targets late Wednesday as the No. 2 U.S. wireless carrier lost subscribers in wireline services and domestic video. Shares of the company fell more than 3 percent to $34.05 (U.S.) after the bell.
Ford Motor Co. stock rose more than 2 per cent in after-market trading as it reported EPS of 43 cents (U.S.) on revenue of $41.96 billion (U.S.), beating consensus of 41 cents (U.S.) and $37.16 billion (U.S.). It outlined a plan to cut costs and boost profit margins at a faster pace than previously announced, which includes dropping increasingly unpopular sedan models like the Fusion and Taurus in North America.
eBay Inc. fell 3 per cent in after-hours trading after it missed revenue consensus while meeting earnings expectations. While it reiterated its full-year outlook, its second-quarter revenue guidance came in at the bottom of the expected range.
The Thursday before-market calendar outside Canada features plenty of planes, trains and trucks: Southwest Airlines Co. and American Airlines Group Inc. represent the airlines sector, while Union Pacific Corp. joins railway peers who’ve already reported this earnings season. United Parcel Service Inc., seen as an economic bellwether along with rival FedEx corp., also reports.
Cigarette maker Altria Group Inc. has traded down since a disastrous earnings report from former sibling/subsidiary Philip Morris International last week. Philip Morris is down 20 per cent since it said that cigarette shipments were down more than expected. Altria’s haircut wasn’t as bad — about 12 per cent since the news — and the shares traded up slightly Wednesday in advance of Thursday morning’s earnings. Analysts expect, on average, 92 cents (U.S.) of EPS on $4.6 billion (U.S.) in revenue.
The healthcare/pharma sector is represented Thursday morning by AbbVie Inc. and Bristol-Myers Squibb Co.
With files from Reuters
David Milstead