Tech giants Microsoft Corp. , Apple Inc. and Tesla Inc. will be among the companies headlining a busy earnings week, shedding more light on how businesses performed at the end of 2020 as Covid-19 cases rose.
Overall, more than a fifth of the S&P 500 and a third of the Dow Jones Industrial Average are expected to provide their quarterly updates starting Monday, according to FactSet. In addition to tech, the schedule includes some of the biggest names in manufacturing, restaurants and telecommunications.
Many tech companies have seen their sales jump during the coronavirus pandemic, as people leaned more on their products and services while working, schooling and entertaining from home. And the strong results are expected to continue in the holiday quarter. For the first time ever in their respective histories, Apple’s quarterly sales are expected to cross $100 billion and Microsoft is projected to pass $40 billion.
Microsoft, which reports its second-quarter results on Tuesday, has benefited from rises at its cloud and gaming businesses. The company recently released two new Xbox gaming consoles—the X Box Series S and X Box Series X—for which it was expecting strong demand.
Apple’s fourth quarter, suggests sales of iPads and laptops which boosted its results. The first quarter is expected to show the strong iPhone sales after the delayed launch of the iPhone 12 weighed on its fourth-quarter revenue. The company is among the top vendors of personal computers, which in 2020 saw their best growth in a decade.
Meanwhile, Tesla is expected to surpass $10 billion. According to analysts, they are hoping for company to post a profit.