Author: Chris Katje

Apple Inc (NASDAQ:AAPL) will likely highlight the performance of its iPhone 16 and upcoming product releases when the company reports fourth-quarter financial results after market close Thursday.

Earnings Estimates: Analysts expect the Cupertino, California-based company to report fourth-quarter revenue of $94.56 billion, up from $89.5 billion in last year’s fourth quarter, according to data from Benzinga Pro.

Apple has beaten analyst estimates for revenue in six straight quarters and nine of the last 10 quarters overall.

Read Also: Apple ‘Will Be The First To Hit’ $4 Trillion Market Cap Milestone, Says Dan Ives As Hundreds Of Apps Will Be Built On AI Feature

Analysts expect the company to report fourth-quarter earnings per share of $1.53, up from $1.46 reported in last year’s fourth quarter. The company has beaten analyst estimates for earnings per share in six straight quarters and nine of the last 10 quarters overall.

What Analysts Are Saying: The iPhone 16 will be one of the key items analysts are watching in the earnings report and conference call.

“iPhone 16 demand has been relatively stable year-over-year and better-than-feared given more cautious data points around shorter lead-times relative to year-ago and production cuts,” Goldman Sachs analyst Michael Ng recently said.

Ng reiterated a Buy rating on Apple with a $275 price target recently.

The analyst said Apple’s push into artificial intelligence with Apple Intelligence could be a “long-term demand driver.”

Another area Ng will be watching closely in Apple’s report is the company’s Services segment, which could be underestimated by investors.

“Apple’s installed base growth, secular growth in services, and new product innovation should more than offset cyclical headwinds to product revenue, such as a reduced iPhone unit demand due to a lengthening replacement cycle and reduced consumer demand for the PC & tablet category.”

Lower lead times for the iPhone 16 could signal a lack of demand for the newest version of the popular Apple smartphone, Morgan Stanley analyst Erik Woodring recently said.

The analyst, who has an Overweight rating and $273 price target on Apple, said while the data for lead times was bad for the iPhone 16, it could be better than the previous iPhone 15.

Lower lead times could also be a factor of Apple being more proactive with its suppliers in keeping inventory in check to avoid supply constraints, Woodring said.

“We believe that better supply conditions are one of the contributing factors to why iPhone lead times are shorter this cycle than in recent cycles,” Woodring said.

Here are other recent analyst ratings on Apple and their price targets:

• KeyBanc: Downgraded from Sector-weight to Underweight with $200 price target
• Piper Sandler: Reiterated Neutral rating with $225 price target
• Bank of America: Reiterated Buy rating with $256 price target
• Barclays: Maintained Underweight rating with $186 price target

Key Items to Watch: All eyes will be on the iPhone 16 when Apple reports fourth-quarter results Thursday.

Other items that investors will be watching include Services, the initial rollout of Apple Intelligence and China.

• Services hit an all-time record for revenue in the third quarter but came in below Street estimates.
• Weakness in China for the third quarter contributed to shares seeing downward pressure after the earnings results.
• Apple’s recent AI product announcements could be highlighted in the results as future catalysts.

Price Action: Apple stock is down 1% to $230.38 on Wednesday versus a 52-week trading range of $164.08 to $237.49. Apple stock is up 24% year-to-date in 2024.

Read Next:

• Apple CEO Tim Cook Says New AI Technology Will Get Consumers ‘On A Different Technology Curve’

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The National Football League is partnering with one of the longest-running television shows of all time to give viewers a unique simulcast of an upcoming game, adding to the league’s experiments with alternative broadcasts.

What Happened: The National Football League will air “The Simpsons Funday Football” on Dec. 9 on Disney+ and ESPN+, giving fans an alternative view of an NFL game while featuring characters from the long-running hit animated comedy “The Simpsons.”

The Walt Disney Company (NYSE:DIS) will air the special game live featuring the Cincinnati Bengals and Dallas Cowboys as part of its “Monday Night Football” coverage.

Disney’s simulcast will be aired in real-time, showing the players as animated characters in the fictional town of Springfield. The simulcast will use Sony’s Beyond Sports Technology from Sony Group Corp (NYSE:SONY).

Springfield’s Atoms Stadium will serve as the setting with well-known characters from the show making appearances. Bart Simpson will be rooting for the Cincinnati Bengals with his father Homer Simpson rooting for the Dallas Cowboys. The simulcast will occasionally show Bart or Homer replacing a member of the team and appearing to play inside the game.

Marge Simpson and Lisa Simpsons will interview players during the game. Other Simpsons characters will also make appearances, according to a press release. Voice actors from the series will provide the voices for the simulcast.

Viewers who don’t want to watch the animated version of “Monday Night Football” can still watch traditional broadcasts on ESPN, ESPN+ and ABC and an alternate version with Peyton and Eli Manning on ESPN2 and ESPN+.  

All telecasts will begin at 8 p.m. ET on Dec. 9.

The special streaming version will also be available in over 100 markets internationally, live and via replay.

Read Also: Which 4 Teams Have Never Reached The Super Bowl? Betting Payouts If History Is Made In 2024 NFL Season

Why It’s Important: First launched in 1989, “The Simpsons” is the longest-running primetime scripted series and well-known to several generations of fans.

Disney partnered with the NFL on a Funday Football telecast last year that saw teams play inside the world of “Toy Story.”

This year’s simulcast could bring new fans to the National Football League and also help Disney reap the benefits of having multiple versions of the game broadcast across its various networks and streaming platforms.

The Bengals (3-5) and Cowboys (3-4) have fallen short of expectations in the 2024 NFL season so far, but there are still several weeks remaining before the alternate broadcast, giving both teams a chance to improve their records.

The Cowboys remain one of the most popular teams in the NFL across the country and have been known as “America’s Team” for many years.

The recent “Sunday Night Football” game on NBC and Peacock between the Cowboys and San Francisco 49ers had an average viewership of 23.9 million, up 43% year-over-year. The game hit peak viewership of 26.4 million viewers and is the most watched Week 8 NFL game ever. Comcast Corporation (NASDAQ:CMCSA) is enjoying strong viewership of “Sunday Night Football,” which is at its highest weekly average of 22.4 million since 2015.

DIS Price Action: Disney stock traded at $95.98 on Wednesday, versus a 52-week trading range of $80.18 to $123.74. Disney stock is up 5.7% year-to-date in 2024.

Read Next:

• Tom Brady Becomes NFL Team Owner — But Could It Impact His Fox Broadcasting Deal?

Image created using artificial intelligence via Midjourney.

Cryptocurrency platform company Coinbase Global (NASDAQ:COIN) could have perfect timing with its third-quarter financial results coming as leading cryptocurrency Bitcoin (CRYPTO: BTC) trades near all-time highs.

Here’s what analysts and investors are watching when the company reports Wednesday after market close.

Earnings Estimates: Analysts expect Coinbase to report third-quarter revenue of $1.25 billion, up from $674.2 million in last year’s third quarter, according to data from Benzinga Pro.

The company has beaten revenue estimates from analysts in seven straight quarters.

Analysts expect Coinbase to report third-quarter earnings per share of 43 cents. That’s up from a loss of 1 cent per share in last year’s third quarter. The company has beaten earnings per share estimates from analysts in six straight quarters.

Coinbase has reported positive earnings per share in three straight quarters. It will be looking to extend that streak and beat estimates from analysts.

Read Also: MSTR Vs. RIOT Vs. COIN – Which Crypto Stock Stands Out Ahead Of Q3 Earnings?

What Analysts Are Saying: Third-quarter estimates could be “safe” for Coinbase, H.C. Wainwright analyst Mike Colonnese said in a new investor note Tuesday.

The analyst reiterated a Buy rating on Coinbase with a $295 price target.

“Based on our analysis of key intra-quarter data points such as crypto trading volumes, BTC and ETH price performance, and growth in USDC’s market cap, we believe consensus 3Q24 revenue and earnings estimates are well-calibrated,” Colonnese said.

The analyst doesn’t expect shares to significantly move after the quarterly results.

“We remain bullish on the stock over the next 12 months, based on where we are in the crypto industry’s four-year price cycle and Coinbase’s dominant position in the digital assets’ ecosystem.”

Colonnese highlights crypto investors often seeing the best returns during the one-year period six months after a Bitcoin halving event, which is where things stand today.

Here are other recent analyst ratings on Coinbase and their price targets:

• B. Riley: Initiated with Neutral rating, $185 price target
• JMP Securities: Reiterated Market Outperform rating with $320 price target
• Barclays: Maintained Equal-weight rating, raised price target from $169 to $175

Key Items to Watch: Coinbase’s earnings report comes with Bitcoin trading near all-time highs Tuesday. The increased price action could be helpful if Coinbase provides an early look at fourth-quarter results and trends.

Transaction revenue and subscription revenue splits are another area to monitor. Coinbase has grown its subscription and services revenue to help diversify its revenue streams.

Altcoins took off in recent quarters. Investors and the cryptocurrency community may be eager to monitor the quarterly split of transaction revenue from Bitcoin, Ethereum (CRYPTO: ETH) and other coins.

As a company helping institutions with Bitcoin, Coinbase’s report could also highlight how Bitcoin ETF demand is doing and if the company is seeing increased interest from companies acquiring Bitcoin for its balance sheets.

Price Action: Coinbase stock closed Tuesday, up 1.65% at $219.66. The 52-week trading range spans $71.88 to $283.48. Coinbase stock is up 40% year-to-date in 2024.

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• Coinbase CEO Brian Armstrong Says Next SEC Chair Should Apologize For The ‘Damage Done To The Country’ By ‘Frivolous’ Lawsuits

Technology giant Alphabet Inc (NASDAQ:GOOG)(NASDAQ:GOOGL) is one of several Magnificent 7 stocks set to report what could be a telling of how much growth is ahead in the tech sector and how AI investments are paying off when the company reports third-quarter financial results after market close Tuesday, Oct. 29.

Earnings Estimates: Analysts expect Alphabet to report third-quarter revenue of $86.34 billion, compared to $76.69 billion in last year’s third quarter according to data from Benzinga Pro.

The company has beaten analyst estimates for revenue in seven straight quarters.

Analysts expect Alphabet to report third-quarter earnings per share of $1.85, up from last year’s $1.55 in the third quarter. The company has beaten analyst estimates for earnings per share in six straight quarters.

What Analysts Are Saying: One of the big topics on investor and analyst’s minds ahead of Alphabet’s earnings report has been a potential breakup or restructuring of the company as the U.S. Department of Justice (DOJ) considers measures to address Google’s dominance in the search market.

While a breakup could receive plenty of negative headlines about Alphabet’s alleged search monopoly with its Google brand, investors could benefit with a breakup according to sum-of-the-parts valuations from several analysts.

“We don’t believe a full breakup would happen. Even if it did, it would be good for shareholders because the sum of the parts is greater than the whole,” Jefferies analyst Brent Thill recently said.

The analyst said big technology companies such as Alphabet, Meta Platforms and Amazon have many parts of the business that are not being valued based on historic multiples and a breakup could be a better outcome for shareholders.

Thill said the DOJ’s probe is an overhang and a distraction that could be similar to a past probe into Microsoft that lasted nearly 10 years and saw the stock trade sideways.

“We continue to believe investors should take advantage of this volatility.”

Read Also: Elon Musk Goes Nuclear, Says Dangers ‘Greatly Overstated’ As Google Signs Nuclear Power Deal

Needham analyst Laura Martin has emphasized for months that a forced breakup of Alphabet could lead to a significantly higher valuation.

“We believe that GOOGL is worth more in pieces than together, so we welcome regulators’ attempts to break up GOOGL,” Martin said in a new investor note.

Martin said the European Union will likely require Alphabet to spin off its third-party network ad business.

A break-up could put a spotlight on the valuation of video platform YouTube.

“We calculate that YouTube would be valued between $455B-$643B if separately traded.”

Martin said Alphabet shares would likely trade higher if the company breaks up due to investors being willing to pay more for “pure-play assets,” more data points could be publicly shared and employees receiving shares in business lines they directly impact.

Martin has a Buy rating on Alphabet and price target of $210.

Wedbush analyst Scott Devitt recently reiterated an Outperform rating and $205 price target on Alphabet stock.

Devitt said Alphabet is an “above average company” trading at a “below average multiple.”

The analyst highlighted strong advertising growth for Alphabet even in the face of competitive pressures in the space.

“Sentiment is mixed for Alphabet relative to mega cap internet peers as investors continue to weigh potential regulatory headwinds and the risk of generative AI to the search business,” Devitt said.

Devitt said Alphabet’s generative AI in search has shown high user engagement, which could create new monetization opportunities down the road.

“While we don’t view the upcoming quarterly report as a likely catalyst for Alphabet, we do think shares are attractive at current levels with shares trading below the market multiple.”

Key Items to Watch: As one of the largest companies to report during the week, Alphabet’s Tuesday report could serve as a key report and create volatility among tech and advertising-related stocks.

Investors and analysts will be watching to hear commentary on the company’s search segment. In the second quarter, Google Search represented revenue of $48.51 billion with YouTube advertising revenue of $8.66 billion.

The company’s YouTube segment could also be a key area to watch as the video segment is seeing competition and many companies across video, gaming and streaming competing for a market share of consumers’ time.

While Alphabet will likely not comment on the 2024 election, the pending presidential election could remain an important backdrop with Donald Trump’s running mate J.D. Vance previously wanting to break Alphabet up.

Investors and analyst will also be looking for Alphabet to provide relevant updates on its continued growth and investments in artificial intelligence.

“We are innovating at every layer of the AI stack. Our longstanding infrastructure leadership and in-house research teams position us well as technology evolves and as we pursue the many opportunities ahead,” Alphabet CEO Sundar Pichai said after second-quarter results.

GOOG Price Action: Alphabet stock trades at $168.27 on Monday versus a 52-week trading range of $123.88 to $193.30. Alphabet stock is up 21% year-to-date in 2024.

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Photo: Shutterstock

Fast-food giant McDonald’s Corporation (NYSE:MCD) is one of the most valuable restaurant companies in the world, valued at more than $225 billion and consistently putting out quarterly results with billions of dollars in revenue.

It turns out that the company could have been even more valuable if it had retained its ownership stake in Chipotle Mexican Grill (NYSE:CMG).

McDonald’s Ownership of Chipotle: McDonald’s invested in several restaurant companies during the late 1990s and early 2000s including taking an initial stake in Chipotle in 1998.

The fast-food giant was instrumental in Chipotle’s rapid expansion, helping to grow the chain from 14 to more than 500 locations in seven years.

McDonald’s initially invested $50 million into the fast casual company and invested around $340 million total during its time holding a stake in the company, as reported by Bloomberg. At one time, McDonald’s owned around 90% of Chipotle.

Chipotle went public on Jan. 26, 2006, at $22 a share. Its stock opened for trading at $44 and gained huge interest and a soaring valuation. The company had an initial valuation of approximately $700 million at the time of its IPO, but by the end of 2006, it had grown to $1.85 billion.

McDonald’s sold a portion of its ownership in Chipotle during the IPO and exited its position completely by October 2006.

While it is unknown how much McDonald’s made on their multiple sales of Chipotle stock, it turns out they could have made a lot more by holding or selling at a later date.

Chipotle’s current market capitalization is $82 billion. McDonald’s 90% stake in Chipotle would be worth $73.8 billion today, assuming it held the entire ownership amount.

Read Also: Chipotle Mexican Grill Q2 Earnings: Revenue Beat, EPS Beat, Comps Up 11% On ‘Stronger Demand Trends’ And More

Why McDonald’s Sold: Chipotle was one of several restaurant companies McDonald’s invested in, a list that includes Donato’s Pizza, Aroma Café, Boston Market, Pret A Manger and a joint venture with Fazoli’s.

The investment in Chipotle was one of the keys for McDonald’s and the larger restaurant company tried to influence business decisions of the smaller brand with ideas like launching a breakfast menu, franchising locations and adding drive-thru locations.

While Chipotle reluctantly added franchised locations, former CEO and co-founder Steve Ells fought back against drive-thru windows and breakfast.

McDonald’s was asked about its decision to sell its Chipotle stake at a shareholder meeting. Then CEO Steve Easterbrook said Chipotle and other restaurant investments took attention away from the core McDonald’s brand, labeling them a distraction, according to a report from Entrepreneur.

Easterbrook said the sale of Chipotle and other restaurant stakes would ensure that everyone was putting 100% of their time and focus into the core McDonald’s brand.

Ells has openly discussed the differences between where he wanted to take Chipotle and where McDonald’s wanted to go, which may also have led to the sale.

“What we found at the end of the day was that culturally we’re very different,” Ellis told Bloomberg. “There are two big things that we do differently. One is the way we approach food, and the other is the way we approach our people culture. It’s the combination of those things that I think make us successful.”

McDonald’s divested all its ownership stakes in restaurant companies but later ventured into the creation of Redbox, a movie kiosk business. The company eventually sold a stake in Redbox to Coinstar before fully exiting the business.

What’s Next: McDonald’s continues to be one of the largest restaurant companies in the world and competes for market share from consumers in the highly competitive fast-food space.

Chipotle and other fast-casual brands have taken market share from the fast-food sector over the years. Chipotle continues to grow and has over 3,000 locations in the United States, Canada, and several other countries.

After the sale of its stake by McDonald’s, Chipotle bought back the franchised locations. The company now owns all of its U.S. locations in a decision to focus on consistent quality and service at all locations as part of its “Food with Integrity” promise.

Chipotle opened its first location in Dubai in October 2024. The restaurant is part of the company’s first-ever international franchise partnership that will see more locations open in the Middle East in the future.

While Chipotle moved away from the franchise model that McDonald’s advocated, the company did adopt one key idea from its former investor. Today, most Chipotle locations, including the majority of new builds, feature a drive-thru lane. This addition aligns with McDonald’s influence and has become a significant feature in Chipotle’s operations.

Read Next:

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Photo: Shutterstock

Electric vehicle giant Tesla Inc (NASDAQ:TSLA) could share more details on demand and a strategy for the upcoming Cybercab when the company reports third-quarter financial results after market close Wednesday.

The Tesla Analyst: Wedbush analyst Daniel Ives reiterated an Outperform rating on Tesla with a $300 price target.

Read Also: How Many EVs Has Tesla Delivered, Produced Each Quarter? A Look At The Results Since 2019

The Analyst Takeaways: Ives said Tesla CEO Elon Musk will likely address the electric vehicle demand environment for the fourth quarter and 2025 when the company reports financial results Wednesday.

“While many investors left the Robotaxi Day clearly wanting more details on the broader autonomous and AI strategy at Tesla, we would expect Musk to address some of the timing/specifics around its FSD and Cybercab strategy on the conference call,” Ives said.

Tesla investors and analysts didn’t hear updates on Tesla’s sub-$30k vehicle during the Robotaxi Day event and Ives believes this vehicle, which he expects to be released in mid-2025, could be highlighted on this week’s earnings call.

“Overall we expect generally in-line 3Q headline numbers with some slight upside likely on the margins front showing a bottoming on this key metric.”

Ives said the 1.8 million unit estimate for 2024 “remains hittable” after the September quarterly delivery report saw figures in-line with estimates. Going forward, Ives said, “2 million+ number the focus for 2025.”

“We remain confident in Tesla’s ability to hit 1.8 million deliveries for FY24 which we will view as a solid feat given the extensive white-knuckle moments seen throughout the first half of the year.”

The analyst also said margins will be a key focus for analysts.

“We need to start seeing this key metric head into the high teens for 3Q/4Q to give the Street comfort much of the price cuts are in the rear-view mirror showing better margin days are ahead for 2025.”

Ives said strength in China and the evolving AI strategy could be other items to watch for the “bullish Tesla narrative.”

TSLA Price Action: Tesla stock is down 1.52% to $217.36 on Monday versus a 52-week trading range of $138.80 to $271. Tesla stock is down 12% year-to-date in 2024.

Read Next:

• Tesla Robotaxi Day Event ‘More Fanfare Than Substance’: 8 Analysts On Cybercab, Optimus, Autonomous Vehicle Vision

Photo: Courtesy Tesla

Global superstar Taylor Swift is set to begin the final leg of her record-breaking “The Eras Tour” soon, and retailer Target Corporation (NYSE:TGT) could be the latest company to benefit from the singer’s massive following and fan base.

What Happened: Swift announced Tuesday morning that she is launching two new products exclusively in Target stores. The items will be released on Nov. 29, which happens to be Black Friday this year.

“This tour has been the most wondrous experience and I knew I wanted to commemorate the memories we made together in a special way. Well, two ways actually,” Swift tweeted.

The singer is releasing “The Official Eras Tour Book” and “The Tortured Poets Department: The Anthology” on CD and vinyl on Nov. 29, exclusively at Target.

“Only at Target,” Swift said in a video shared with her more than 95 million followers on Twitter. The post was also shared on Instagram where Swift has more than 280 million followers.

Swift said the new album will contain 35 tracks, and the image showed four CDs containing the long list of songs. The record will sell for $59.99, and the CD will sell for $17.99, as reported by Variety. The anthology album was previously available as a 31-song digital release, with four acoustic bonus tracks added, and the physical disc form was available for the first time.

The singer said the tour book contains over 500 pictures from the tour, including never-before-seen behind-the-scenes images. According to the report, the book will sell for $39.99.

Swift has eighteen dates left on “The Eras Tour,” beginning with a stop in Miami this weekend for nine shows in the U.S. before heading to Canada for nine shows, with the tour ending on Dec. 8.

Read Also: Target Q2 Earnings: Revenue And Profit Beat, Digital Sales Boost, Annual Profit Outlook Hiked

Why It’s Important: The book, CD, and vinyl will exclusively be sold in North American Target stores on Black Friday and will be available for online sale on Nov. 30. Swift said international details will follow.

Target is one of many retailers offering discounted merchandise on Black Friday to appeal to holiday shopping consumers. With the new Swift merchandise, the retailer could see an extra boost in demand on this typically busy day.

Target had Circle Week from Oct. 6 to Oct. 12, offering seven days of deals with discounts of up to 50%.

The multiple sale days and weeks and the Swift exclusives could create a strong fourth quarter for Target. During its second-quarter earnings report, the company raised its full-year earnings per share guidance and showed optimism for the second half of the year.

Swift has been known to boost the share prices of some public companies and has been mentioned in earnings reports and earnings calls. Live Nation, The Walt Disney Company, AMC Entertainment, and airlines are among the companies that have noticed a boost from Swift.

The new album release could also serve as a proving point for the singer after endorsing Kamala Harris for president in the 2024 election. Donald Trump brushed off Swift’s endorsement of Harris in the election and predicted it would hurt the singer’s future album sales.

First released on April 19, 2024, “The Tortured Poets” has been one of Swift’s record-breaking albums, spending 15 non-consecutive weeks at number one on the Billboard 200 album chart. This marked a career-high for Swift, placing the album among the few to achieve this milestone.

The “Anthology” version of the 2024 album could help the record top the charts again. Republic Records, which is owned by Universal Music Group (OTC:UMGNF), could also benefit from the release of the new anthology album.

TGT Price Action: Target stock is up 1.9% to $161.04 on Tuesday, versus a 52-week trading range of $105.23 to $181.86. Target stock is up 10.4% year-to-date in 2024.

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Photo: Shutterstock

Streaming giant Netflix Inc (NASDAQ:NFLX) is adding a new live weekly talk show with comedian John Mulaney.

What Happened: According to Variety, citing Netflix chief content officer Bela Bajaria, the streaming platform is adding a live talk show with Mulaney starting in 2025.

The announcement underscores one of the company’s main strategies, which is to grow live content in an effort to reach new subscribers.

Netflix currently has over 275 million paid subscribers.

Bajaria highlighted the company’s working relationship with Mulaney, which included standup specials and the live talk-show series “Everybody’s in LA.”

Bajaria praised Mulaney’s content as “bold and original and fresh and then unpredictable.”

“And I think it’ll be really fun to get to do a live show with him.”

Read Also: Netflix To Become ‘Default Choice’ For TV, Movies? Analyst Predicts More Live Sports, Price Increases

Why It Matters: Netflix sees live content as a way to increase demand from advertisers. It might also serve as a catalyst to boost subscribers to ad-free plans.

And while viewership for “Everybody’s in LA” wasn’t huge, according to Bajaria. Netflix has launched other talk shows in the past that did not catch on with viewers.

“I think we have to continue to be bold and take risks and swings,” Bajaria said. “And I think it would be too easy and too safe to go, ‘oh, well, talk hasn’t worked, so let’s not try this thing.’”

Netflix’s live content thus far has mostly been centered around comedy, such as the standup special featuring Chris Rock in March 2023.

Netflix is also pushing deeper into its sports content. The company will stream two National Football League games on Christmas Day 2024 and several in the future, and stream a live boxing match between Jake Paul and Mike Tyson on Nov. 15.

It also inked a $5 billion, 10-year deal with TKO Group Holdings Inc (NYSE:TKO) to start airing WWE’s pro-wrestling content in 2025.

Reports also link Netflix to wanting to launch live versions of “Hot Ones.” The popular video series from BuzzFeed features celebrities answering questions as they eat hot wings.

Price Action: Netflix stock trades at $730.75 on Thursday versus a 52-week trading range of $344.73 to $733.85. Netflix stock is up 56% year-to-date in 2024.

Read Next:

• Salesforce Paid John Mulaney To Speak At Its Event — Then He Roasted The Entire Company And Audience

Image: Shutterstock

Media giant The Walt Disney Company (NYSE:DIS) scored a box office hit with “Inside Out 2,” a movie that could also help the company’s streaming segment for the fourth quarter.

What Happened: When Disney reports fourth-quarter financial results, which are currently expected in November, the company might mention the success of its hit sequel “Inside Out 2” many times.

The movie was released in theaters on June 14, which was in the company’s third quarter, but a good portion of the box office success will come in the fourth-quarter financial results.

“Inside Out 2” also recently premiered on Disney+ on Sept. 25, which is part of the company’s fourth quarter. The movie’s streaming premiere may help Disney+ subscriber numbers trend up in the quarter.

The movie had 30.5 million views in its first five days of availability on Disney+, as reported by Variety. This marks the biggest film premiere on Disney+ in 2024 and the biggest premiere for a theatrical film since 2021 for Disney (“Encanto”).

“Inside Out 2” also had its biggest premiere on Disney+ in the EMEA (Europe, the Middle East and Africa) and Latin America regions.

Read Also: Disney Shareholders Could Experience Joy As ‘Inside Out 2’ Crushes Box Office, Nears $1B Milestone That Haunted Company In 2023

Why It’s Important: The film’s success on Disney+ adds to its successful theatrical run, which saw it become the highest-grossing animated film of all time.

The film grossed $653 million domestically and $1.69 billion worldwide, ranking first in both markets, as reported by BoxOfficeMojo. The movie was the first film to cross $1 billion worldwide in 2024, a milestone that Disney failed to reach in 2023.

“Inside Out 2” is only the 12^th movie to pass $1 billion in international markets and the first animated film to achieve this milestone.

While the animated film was a huge hit for Disney, the media giant also experienced another blockbuster with the release of “Deadpool & Wolverine” on July 26. The superhero film grossed $631.4 million domestically and $1.33 billion worldwide, ranking second in both markets.

This gives Disney a lot to be happy about in the fourth quarter and could shine through in the quarterly results.

The media company could also highlight its future movie catalysts, which include “Deadpool & Wolverine” hitting Disney+ likely in October or November and the theatrical releases of “Moana 2” and “Mufasa: The Lion King” on Nov. 27 and Dec. 20, respectively.

DIS Price Action: Disney stock is down 1.7% to $94.48 on Tuesday, versus a 52-week trading range of $78.73 to $123.74. Disney stock is up 6% year-to-date in 2024.

Read Next:

• ‘Inside Out 2,’ ‘Moana 2,’ ‘Deadpool & Wolverine’: Can These 3 Movies Bring Back Disney’s Box Office Billions?

Photo: chingyunsong/Shutterstock.com

Automotive parts retailer AutoZone Inc (NYSE:AZO) looks to keep its streak of earnings beats alive when the company reports fourth-quarter financial results before the market opens Tuesday, Sept. 24.

Earnings Estimates: Analysts expect AutoZone will report fourth-quarter earnings per share of $53.53, up from $46.46 in last year’s fourth quarter, according to data from Benzinga Pro.

The company has beaten earnings estimates from analysts in 19 straight quarters according to Benzinga Pro data.

Analysts expect the company to report fourth-quarter revenue of $6.22 billion, up from $5.69 billion in last year’s fourth quarter.

The company has beaten revenue estimates from analysts in eight of the past 10 quarters, but missed estimates in two of the last three quarters.

What Analysts Are Saying: Fourth-quarter sales are likely to be in-line with analyst estimates for AutoZone, Truist analyst Scot Ciccarelli said in a recent investor note.

The analyst said concerns over currency exchange rates could limit the international comparable sales. The auto parts sector also remains “challenging,” Ciccarelli added.

“Our data suggests that the beginning and end of the quarter were a bit softer, with relative strength in late June and July, but a reasonably steady cadence throughout,” Ciccarelli said.

Ciccarelli also expects gross margins to improve 60 basis points year-over-year in the fourth quarter thanks to holding retail prices steady and being able to lower procurement costs.

“We remain aggressive buyers of AZO, think fundamentals are poised to reaccelerate and believe they will continue to take share over time in a highly favorable vertical.

Here are other recent analyst ratings on AutoZone and their price targets:

Evercore ISI: Maintained Outperform rating, lowered price target from $3,900 to $3,350

Wedbush: Reiterated Outperform rating with $3,200 price target

Read Also: Spotlight on AutoZone: Analyzing the Surge in Options Activity

Key Items to Watch: Data from Placer.ai showed AutoZone had visits increase 4.4% year-over-year during the second quarter of the calendar year. Visits were up 7.3%, 2.7% and 5.5% year-over-year for June, July and August, respectively.

The report said auto parts retailers such as AutoZone are “sustaining their pandemic-era success and benefitting from the increase in older cars on the road.”

For AutoZone, the trend of repairing vehicles versus replacing them with new ones could continue to benefit the company, according to the report.

The company placed partial blame on the timing of tax refunds and the weather in the third quarter. While tax refunds won’t be an item to watch in the fourth-quarter results, the weather could be.

“As we begin our all-important summer selling season, we are very excited about the initiatives we have in place to enhance our inventory availability, continue to accelerate our domestic commercial business and provide great customer service,” CEO Phil Daniele said in the third-quarter results.

AZO Price Action: AutoZone stock closed Monday up 0.93%% to $3,048.82 on Monday versus a 52-week trading range of $2,375.35 to $3,256.37.

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