Preview of the Magnificent Seven's earnings

With three major tech companies revealing their results on the same night, Magnificent Seven's busy week of earnings begins

What can investors anticipate?

Five tech megacap companies are reporting this week, marking the return of the Magnificent Seven earnings season.

The seven large tech companies that make up the Magnificent Seven are Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla. By market capitalization, each of these businesses is among the biggest in the world. On October 29, Nvidia (NASDAQ:NVDA) became the first £5 trillion company in history.

On the same day, three of Nvidia's Magnificent Seven colleagues release their most recent quarter's earnings.

According to Jay Woods, chief market strategist at Freedom Capital Markets, "the earnings spotlight will be blinding." "Since the five Magnificent SevenApple, Amazon, Microsoft, Meta, and Alphabetall report within a few days of one another, every call has the potential to change the mood in the tech industry and the larger indices.

Tesla (NASDAQ:TSLA) has already released its most recent quarter's results. Investors scrambled to take advantage of government credits that were about to expire, boosting revenue by 12% to a record £28 billion. However, profits declined, primarily due to higher costs associated with research and development and tariffs.

Find out when the Magnificent Seven will release their earnings and what the analysts anticipate from each company by reading on.

The alphabet.

Alphabet (NASDAQ:GOOGL) releases its earnings on October 29 following the close of US markets.

According to LSEG's poll of analysts, the parent company of Google is expected to report £99 billion in revenue and £2.34 in earnings per share (EPS).

Alphabet has outperformed the Magnificent Seven stock in the three months leading up to October 28. This is because a judge in a monopoly case looking into Google's search business decided against breaking up the company.

According to Woods, "rumors are circulating regarding a possible significant investment or full takeover of AI company Anthropic." "Alphabet, the Mag 7's top-performing stock right now, is fired up for Wednesday's announcement.

Amazon.

When Amazon (NASDAQ:AMZN) announced that it would eliminate 14,000 corporate jobs on October 28, it garnered attention this week for seemingly continuing the tech layoff trend.

AWS, its cloud division, was also at the center of an outage that shut down a large portion of the internet last week.

Woods stated, "The earnings call may center on recent worries about the AWS outage."

Since AWS is Amazon's best chance of capturing significant artificial intelligence (AI) tailwinds, investors will be closely monitoring the division's growth this quarter to see if it can keep up with smaller rivals Google Cloud and Microsoft Azure.

Analysts predict that when Amazon releases its earnings after US markets close on October 30, it will report an EPS of £1.57 on revenue of £177.8 billion.

Mac.

Following the close of markets on October 30, Apple (NASDAQ:AAPL) will also make its results public.

Wamsi Mohan, a research analyst at Bank of America Securities, stated that "Apple's ecosystem, its brand, and its large installed base remain a competitive advantage." Mohan went on to say that he thinks AI could both help Apple by improving its current products (such as wearables with AI integration or smart home and robotics products) and hurt traditional revenue sources like search.

According to LSEG's poll of analysts, EPS of £1.77 is anticipated on £102 billion in revenue.

Meta.

Meta (NASDAQ:META) releases its earnings on October 29 following the close of US markets.

"Things have settled down after posting a solid quarter last period where shares jumped by just over 13 percent," Woods stated. Although Metas shares have increased by about 28% so far this year, they have only increased by 31.6 percent in the three months ending October 28.

LSEG's poll of analysts predicts £6.69 EPS on £49 billion in revenue.

Microsoft.

Following its most recent earnings report, Microsoft's (NASDAQ:MSFT) stock surged, but it hasn't been able to reach those highs since.

"Shares jumped by 8.2 percent on the opening after a positive reaction to great numbers from their Azure cloud division," Woods said of Microsoft stock following the company's most recent earnings announcement on July 30. Regretfully, the high, which shareholders hope to return to, was the open at £554.40.

Analysts predict that Microsoft will report EPS of £3.67 on revenue of £75.3 billion when it releases its latest quarter results on the evening of October 29.

Nvidia.

Nvidia's results have become something of a highlight of the tech investment calendar, typically coming a month or so after the other Magnificent Seven.

On November 19, after markets close, Nvidia will release its next set of results. Analysts currently predict an EPS of £1.24 on £54 billion in revenue.