Roku shares experienced a decline on Friday as analysts adjusted their price targets following the release of the company’s first-quarter financial results. Despite surpassing expectations for platform revenue and EBITDA, investors expressed a desire for stronger indicators, prompting analysts to lower their projections.
Check Point Software (CHKP) reported stronger-than-expected first-quarter earnings, with EPS of $2.04 surpassing analyst estimates by $0.03. Revenue also outperformed consensus forecasts, reaching $598.8 million. The company’s stock price has shown a positive trend, rising 0.89% in the past three months and a significant 27.80% over the past year.
Encompass Health Corporation (NYSE: EHC), the largest owner and operator of inpatient rehabilitation hospitals in the United States, reported strong results for the first quarter ended March 31, 2024.
Revenue grew by 13.4% to $1.4 billion, driven primarily by strong discharge growth. Adjusted EBITDA increased by 19.2% to $300.9 million. The Company increased its full-year guidance for Adjusted EBITDA and adjusted earnings per share.
Mark Tarr, President and Chief Executive Officer of Encompass Health, said, “We are pleased with our first-quarter performance. Revenue growth of 13.4% driven primarily by strong discharge growth combined with prudent expense management to drive Adjusted EBITDA growth of 19.2%. Our value proposition and operating strategy continue to be validated and we remain highly optimistic about the long-term prospects of our business.”
Rogers Communications has outperformed Wall Street expectations for first-quarter wireless subscriber additions, driven by the rapid growth of Canada’s immigrant population. The company’s total of 98,000 net monthly bill-paying wireless phone subscribers exceeded analysts’ estimates of 77,530. This increase in demand is attributed to the influx of temporary foreign workers and immigrants who are bolstering the country’s population. Canada’s population reached a record high of 40.77 million in 2023, with an exceptional growth of 3.2% compared to the previous year. Rogers’ financial performance also saw a positive trend, with its free cash flow increasing by 58% to C$586 million. This metric is closely monitored by investors to assess the company’s dividend payouts.
RTX Corporation (RTX) reported solid financial results for the first quarter of fiscal year 2024, with adjusted net sales growing 12% year-over-year (Y/Y) to $19.3 billion, exceeding analyst expectations of $18.4 billion. The company’s operating segments, Collins Aerospace, Pratt & Whitney, and Raytheon, all contributed to the overall growth.
Lockheed Martin (LMT) reported strong first-quarter results, with earnings per share (EPS) and sales exceeding Wall Street estimates. Adjusted EPS came in at $6.33, ahead of the $5.86 consensus estimate, while sales reached $17.2 billion, surpassing the $16 billion expectation. This performance was driven by growth across its business units, including jets, missiles, helicopters, and space exploration.
General Motors (GM) is expected to report strong first-quarter earnings before the market opens on Tuesday, driven by higher vehicle pricing. Analysts at LSEG predict adjusted earnings per share of $2.15 and revenue of $41.92 billion, representing a 4.7% revenue increase and a 3% EPS decline year-over-year. Investors may also expect an update on GM’s annual forecast, particularly guidance towards the top of previously announced targets.
