DELL, ENTA, ZM, VMW, ATD: Earnings Preview

By Kirsteen Mackay

Nov 21, 2022

This week’s company earnings include Dell Technologies (NYSE: DELL), VMware (NYSE: VMW), Enanta Pharmaceuticals (NASDAQ: ENTA), Calian Group (TSE: CGY), and Alimentation Couche-Tard (TSE: ATD). 

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DELL, ENTA, ZM, VMW, ATD: Earnings Preview

It’s been a busy few weeks for earnings as companies report their latest quarterly financial updates to the market. The retail theme continues along with some energy names and a few remaining tech stocks.

Some interesting names reporting their earnings updates this week include Zoom Video Communications (NASDAQ: ZM), Urban Outfitters (NASDAQ: URBN), Best Buy (NYSE: BBY), Chico's FAS (NYSE: CHS), Canadian Solar (NASDAQ: CSIQ), Deveron Corp (CVE: FARM), Abercrombie and Fitch (NYSE: ANF), Dollar Tree (NASDAQ: DLTR), Warner Music Group (NASDAQ: WMG), Dick’s Sporting Goods (NYSE: DKS), Nordstrom (NYSE: JWN), Autodesk (NASDAQ: ADSK), HP (NYSE: HPQ), Deere (NYSE: DE). 

Here are five stocks with upcoming earnings to keep on your radar:

Dell Technologies (NYSE: DELL)

Computer hardware company Dell Technologies (NYSE: DELL) is scheduled to report its Q3 earnings on November 21. EPS consensus at FactSet is $1.60, with company guidance between $1.53 and $1.79. Sales consensus is $24.3bn, with guidance coming between $23.8bn and $25bn.

Since Dell spun off VMware (NYSE: VMW) a year ago, its share price has fallen 23%. 

Sales have been increasing Y/Y for the past five years, and the five-year CAGR is 10.4%. Net income fell in 2020 but recovered above its 2019 level in 2021. 

In Q2, Dell returned record quarterly revenue of $9.5bn but ‘observed more cautious customer behavior as the quarter progressed.

For value hunters, Dell sports value stock characteristics. Its P/E is 6, its PEG is less than 1, and it also pays a 3% dividend yield. It is an industry leader with a competitive advantage. FactSet analyst consensus on the stock is Overweight, with a target share price of $51.96. Its current value is $42.04.

VMware, Inc. (NYSE: VMW)

Cloud infrastructure business VMware, Inc. (NYSE: VMW) also reports this week. It is slated to release results on November 22. FactSet analysts expect EPS of $1.59 and sales of $3.34bn. Analysts have a consensus Hold rating on the stock with a target share price of $137.79, above the current VMW share price of $116.56.

VMware is the acquisition target of Broadcom, which proposes to buy it in a $61bn acquisition. Broadcom has notified the deal to the European Commission and is progressing with its regulatory filings worldwide. If the transaction completes next year, it will be one of the biggest tech mergers in history.

VMware’s Q2 revenue was $3.34bn. 

Zane Rowe, executive VP and CFO of, VMware said:

Our Q2 financial results reflect the continued commitment of the entire VMware team to accelerate innovation for our customers as they move to a multi-cloud environment, 

Investments in our Subscription and SaaS offerings helped contribute to ARR growth of 24% year-over-year.

Enanta Pharmaceuticals (NASDAQ: ENTA)

Enanta Pharmaceuticals (NASDAQ: ENTA) plans to report its financial results for its fiscal fourth quarter and full year ended September 30, 2022, after the US market closes on November 21, 2022. 

FactSet analysts estimates expect EPS of -$5.95 and sales of $88.73m for the full year.

Enanta discovers and develops small-molecule drugs for the treatment of viral infections. Its R&D programs include clinical candidates for RSV, COVID-19, hepatitis B virus (HBV), and hMPV.

In Q3, Enanta incurred a net loss of -$31.7m, compared to a net loss of -$24m in Q3 2021. Enanta receives royalty revenue from worldwide net sales of AbbVie’s hepatitis C drug. 

Calian Group (TSE: CGY)

Consulting firm Calian Group (TSE: CGY) will report its Q4 earnings after the market closes on November 24. FactSet analysts project a consensus EPS of CA$3.90 and sales of CA$572m. company guidance comes between CA$560m and CA$585m. 

Last quarter the company CFO Patrick Houston said:

we're still on track for another record year, our fifth consecutive all-time high performance. We have adjusted revenue down to reflect a few factors, the first being delays in signings of new work in our Space division, Advanced Technologies, and our Health segment. And the second being supply chain delays preventing us from fulfilling orders in Advanced Technologies and ITCS. 

The CGY share price has remained relatively flat over the past two years, but sales have been increasing Y/Y. Calian’s 5-year CAGR is 13.6%. Unfortunately, profits almost halved in 2021 compared to the previous year.

FactSet analysts have a Buy rating on CGY stock with a target share price of CA$82.12. Calian Group’s current P/E is 47, and its forward P/E is 13.5, while P/BV is 2.2 and CGY stock comes with a 2% dividend yield.

Calian provides healthcare, communications, learning and cybersecurity solutions. It is headquartered in Ottawa, with offices and projects spanning North American and international markets.

Alimentation Couche-Tard Inc (TSE: ATD)

Canadian convenience store operator Alimentation Couche-Tard Inc (TSE: ATD) is due to report its Q2 earnings on November 22. FactSet analyst estimates anticipate EPS of $1.12 and sales of $23.3bn.

Operating in 24 countries and territories, ATD has close to 14,100 stores, with 10,700 selling road transportation fuel. It is a leader in Canada, Scandinavia, the Baltics, and Ireland. It also has an important presence in Poland and Hong Kong SAR. 

In Q1, ATD reported strong results despite high inflation. 

If you enjoyed our earnings preview, why not read our IPO coverage?

Important Notice And Disclaimer

This article does not provide any financial advice and is not a recommendation to deal in any securities or product. Investments may fall in value and an investor may lose some or all of their investment. Past performance is not an indicator of future performance.