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Apple, Amazon and 3 Other Key Earnings Charts

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It’s another extremely busy earnings week with over 1,000 companies expected to report second quarter results. But there are several “big” earnings reports that everyone will be tuning into, including two of the Magnificent 7, Amazon and Apple.

Apple, Amazon and these 3 other companies are among the most popularly held by investors. All 5 have seen big rallies in 2023. None are “cheap” by a forward P/E basis but do investors care? It seems like valuation is irrelevant in 2023.

In addition, several of these stocks have great earnings surprise track records. Will another beat provide a catalyst to push these stocks even higher?

Apple, Amazon and 3 Other Key Earnings Charts

1. Apple Inc. (AAPL - Free Report) has an outstanding earnings surprise track record with just 1 miss in the last 5 years. It happened in early 2023 but that didn’t stop shares of Apple from rallying throughout 2023. Apple has hit new all-time highs this year and is up 50.6%. Apple is expensive, from what it has traded at historically. It has a forward P/E of 32.6. Does its valuation keep you out of Apple?

2. Amazon.com, Inc. (AMZN - Free Report) has put together 2 big beats in a row but has always had a hit-or-miss earnings surprise track record. Shares of Amazon have rallied big, gaining 57% year-to-date. Amazon is not cheap. It trades at 85.4x. But it has never been cheap, even after big sell-offs like last year. Is Amazon still undervalued?

3. Booking Holdings, Inc. (BKNG - Free Report) has beat 10 quarters in a row. That’s an impressive record for a travel company during the pandemic. Shares of Booking are up 44.6% year-to-date. It’s the cheapest of these 5 companies with a forward P/E of 22. Booking is trading near its all-time highs. Will Booking break out on this report?  

4. Airbnb, Inc. (ABNB - Free Report) has beat 8 quarters in a row. If you recall, Airbnb was a pandemic IPO. It went public in late 2020. Shares of Airbnb have rallied this year, gaining 74%. Airbnb isn’t cheap either, with a forward P/E of 44.3. With travel so hot, should Airbnb be on your shortlist?

5. DraftKings Inc. (DKNG - Free Report) is coming off a miss last quarter, but prior to that miss, it had beat 5 quarters in a row. Shares of DraftKings have soared 179% year-to-date. DraftKings doesn’t have a P/E because it’s expected to lose $1.81 per share this year but that is an improvement from its loss of $3.16 last year. Will this earnings report be a further catalyst for DraftKings’ shares?

[In full disclosure, Tracey owns shares of AMZN and BKNG in her personal portfolio.]

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