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Information technology stocks continued to be in the spotlight this week as headline-grabbers like Apple (AAPL), Super Micro Computer (SMCI), Advanced Micro Devices (AMD) and Qualcomm (QCOM) reported results.
Quarter-to-date, the information technology sector (NYSEARCA:XLK) is down nearly 6%, compared to the SPY downturn of over 3%.
In this week’s earnings recap, 21 tickers reported results, out of which 19 companies reported an earnings beat, while two reported a miss. On the revenue side, 14 companies exceeded revenue estimates, while seven companies trailed estimates.
Apple (AAPL) shares rose on Thursday after the iPhone maker reported better-than-expected second-quarter results, despite concerns revolving around iPhone sales in China. The company also announced a share buyback of $110 billion, the biggest one in the U.S. to date.
AI server maker Super Micro (SMCI) stocks tumbled after a mixed third-quarter earnings report. Despite its third-quarter revenue tripling from a year ago, it missed market expectations.
Chipmaker AMD (AMD) reported first-quarter results and second-quarter guidance that were largely in-line with expectations.
So far this quarter, 42 out of 383 companies that reported results are part of the information technology sector.
At the industry level, one professional services company, nine software firms, 14 semiconductors & semiconductor equipment companies, four technology hardware, storage & peripherals companies, seven electronic equipment, instruments & components, four IT services, and three communications equipment firms reported earnings this quarter.
14% of the S&P 500 information technology companies that have reported results so far this quarter, have recorded EPS misses, while 86% of companies reported a beat. In terms of revenue, 36% of the companies trailed estimates, while 64% of companies beat on the top line.
For the upcoming week, notable information technology names scheduled to report results include Palantir Technologies (PLTR), Arm Holdings (ARM) and Unity Software (U).
