A general summary of 2016’s Q4 earnings

2016’s Q4 earnings

Up to this day, almost 98 percent of the companies found in the S&P 500 have noted actual results for the fourth quarter. Below is a general summary of 2016’s Q4 earnings season together with some of the notable companies beating analyst expectation by their rising 2016 Q4 earnings.

More than 65 percent of them were below the 5-year average in terms of actual earnings per share (EPS). In terms of sale, 53 percent of companies reported their actual sales to be above the mean estimate, equal to the 5-year average.

As of today, year-over-year revenue growth rate for 2016 Q4 earnings season is 4.9 percent, higher than the estimated earnings growth rate of 3.1 percent on December 31.

Companies that surpassed 2015 earnings

General Motors – this company earned $43.9 billion in revenue, advancing 10.8 percent compared in 2015. General Motor’s allotted cash balance of $20 billion for their long-term growth.

Intel – sets a new record by earning $16.9 billion for their 2016 Q4 revenue, higher compared to 2015’s Q4 with $14.9 billion.

Ford – its revenue for the fourth quarter came in at $40.3 billion, higher than last 2015’s figure of $33.80 billion.

Companies that surpassed analysts’ expectations

Facebook – Facebook’s overall revenue was $8.81 billion, beating Reuter’s expectation of $8.51 billion.

Google Alphabet – Alphabet earned $21.33 billion in their 2016 Q4 revenue versus the expected $20.77 billion. Alphabet’s overall sales rose 18 percent compared to the previous year.

IBM – topped analysts’ expectations by earning $22.06 billion versus the expected $22.02 billion by Thomson Reuters.

Netflix – shares of Netflix surged more than 9 percent in 2016. Due to the added 7.05 million subscribers of Netflix, its revenue rose 36 percent by earning $2.48 billion, beating Wall Street’s prediction of $2.47 billion.

Some notable companies who slightly plunged in 2016;

Apple – it may have topped analyst expectations but its 2016 Q4 earnings results posted a year-over-year revenue decline, ending in at $46.9 billion, lower than the expected $46.94 billion.

Goldman Sachs – their revenue for the fourth quarter came in at $7.27 billion, lower compared last 2015 figure of $7.69 billion. Still, Goldman Sachs surpassed Thomson Reuters estimate of $7.07 billion in revenue.


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