Fast Money Blog- 11/1/24
Wealthy Investor Blowout Earnings Releases
This was a big week on Wall Street, as major Dow and S&P components, including Visa Inc. (V), Alphabet, Inc. (GOOG), Microsoft Corporation (MSFT), Mastercard Incorporated (MA), Apple, Inc. (AAPL) and Amazon.com, Inc. (AMZN) released their earnings reports.
Visa reported strong Q4 results with revenue of $9.6 billion, an increase of 12% year-over-year.
Total Processed Transactions increased 10% year-over-year, for a total of $61.5 billion.
Furthermore, Visa announced a 22% year-over-year increase in both Value-Added Services (VAS) and New Flows revenue, contributing to over 30% of the company's total revenue. VAS include a variety of offerings such as loyalty programs, advanced security measures like fraud prevention, and personalized offers.
On another important note, Visa will be raising its quarterly cash dividend to $0.59 per share.
Let’s Take A Look at Google
GOOG reported outstanding Q3 2024 earnings with top-line revenue of $88.27 billion, up 15% year-over-year. Profit climbed 34% to $26.3 billion. These are the company’s best sales and profit numbers ever.
Here’s how the company’s quarterly revenue broke down:
Google Search revenues, it’s largest business, saw revenue of $49.4 billion, up 12% year-over-year.
YouTube ad revenue rose 21% year-over-year to $8.1 billion.
But it was Google’s Cloud revenue that really knocked it out of the park. This division that offers software and technology services to other businesses, grew 35% year-over-year to $11.4 billion.
Now Let’s Look at Microsoft
MSFT released strong Q1 2025 earnings with revenue of $65.6 billion, up 16% year-over-year.
Some Highlights
Microsoft’s Intelligent cloud segment had quarterly revenue of $24.1 billion, up 20% year-over-year.
The Productivity and Business Processes segment, which includes Dynamics, LinkedIn and the Office suite of products, brought in $28.3 billion, an increase of 12% year-over-year.
The company also reported revenue of $13.2 billion, an increase of 17% year-over-year, in their More Personal Computing segment.
Mastercard Incorporated (MA) reported outstanding Q3 2024 earnings with quarterly revenue of $7.4 billion, up 13% year-over-year. These results reflect strong consumer spending.
Gross Dollar Volume for the quarter rose 10% year-over-year for a total of $2.5 trillion, including a 17% rise in cross-border volume.
The company also saw strong growth in its value-added services and solutions segment, which saw a rise of 19% year-over-year and accounted for 37% of Mastercard’s total revenue. This segment includes peer-to-peer transactions and fraud protection.
Apple, Inc. (AAPL) released it’s Q4 2024 earnings with top-line revenue of $94.9 billion, a rise of 6.1%.
Apple’s Segment Highlights
iPhone revenue came in at $46.2 billion in Q4, up 6% year-over-year. This figure includes one week of sales of their newest device, iPhone 16.
iPad revenue had $6.95 billion in quarterly income, up 7% year over year.
Apple’s services segment brought in $24.9 billion for the quarter, up 11% year-over-year.
Apple’s board of directors declared a cash dividend of $0.25 per share.
On Thursday, October 31st, AMZN released fantastic Q3 2024 earnings, with quarterly revenue of $158.9 billion, an increase of 11% year-over-year,
Highlights
Amazon saw quarterly advertising sales grow 19% year-over-year for a total of $14.3 billion, outpacing growth in its core retail business.
Amazon Web Services, its cloud revenue segment, grew 19% to $27.4 billion, year-over-year…compared to a year ago when sales only accelerated by 12%, showing that their cloud business is growing faster than it did a year ago.
If you only can afford to invest in one stock over the next 8 weeks, it should clearly be Amazon.
Here are 4 reasons why:
Every major corporation is using the Amazon cloud.
The cost of utilizing Amazon cloud’s services is only going rise over the next 5 years, bringing Amazon even more revenue.
Going forward, today’s youth is going to know AMZN as their favorite retail outlet.
Amazon’s board of directors will shrink the float and raise the dividend in the near future.
Stay Open! Stay Positive!
Tyrone Jackson, The Wealthy Investor