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Tesla's performance exceeded expectations, and many major banks have different views after the performance
On Wednesday (January 26) after hours of U.S. stocks, $Tesla (TSLA. US) $ reported better 21Q4 earnings than Wall Street expected.
Q4 Automotive revenue was $15.97 billion, up 71% year-over-year; Gross margin was 30.6%, up slightly from 30.5% in the previous quarter. The automotive business generated full-year 2021 revenue of $47.23 billion and gross margin of 29.3%. Tesla delivered more than 936,000 vehicles worldwide for the full year of 2021, up 87 percent from the previous year and higher than the previously projected average annual growth rate of 50 percent over the next few years.
Meanwhile, Tesla warned that supply chain shortages, which have led to lower sales at most other major automakers, will also squeeze Tesla. "With supply chains becoming a major constraint, our own factories have been operating below capacity for several consecutive quarters, and this could continue into 2022."
Bernstein: Tesla has a price target of $300, maintaining a "outperform" rating
Xiao Mo: Raised Tesla's price target to $325, maintaining a "down"
Wells Fargo: Raised Tesla's price target to $910 and maintained an "equivalent year-on-year" rating
Beya: Raised Tesla's price target to $1108 to maintain the "outperform the market" rating
Damo: Tesla's target price is $1300, maintaining an "overweight" rating
As of press time, Tesla was down 1.7% at $921.52.
Microsoft's performance is stable, and the big banks are looking up
On Wednesday (January 26) U.S. stock market after hours, $Microsoft (MSFT. US) $ announced its fiscal 2022 Q2 financial report. According to the data, Microsoft's second-quarter revenue was $51.7 billion, an increase of 20% year-on-year; net profit was $18.8 billion, up 21% year-on-year.
Citi: Maintain microsoft's "Buy" rating and raise the price target from $376 to $386
Analyst Tyler Radke said Microsoft's second-quarter performance and third-quarter guidance showed the tech giant "lived up to its reputation" and helped reassure investors worried about a slowing economy.
Analysts say Microsoft is Citi's go-to big tech stock because its double-digit growth model is "effective and defensive." "We believe that with Microsoft's strong pricing power in areas such as Office suites and Windows licensing royalties, and the accelerated migration of its enviable enterprise customer base to the cloud, the company can continue to capture consumer and business growth spending," analysts said.
"Importantly, strong commercial bookings performance in the second quarter and strong expectations for consumption will push The Azure business further above the levels of the second quarter, which will help ease investor tensions about slower growth," he said.
Deutsche Bank: Reiterating Microsoft's Buy rating with a target price of $390
Deutsche Bank analyst Brad Zelnick said Microsoft's second-quarter results and third-quarter guidance showed that digital transformation was still ongoing and that the company's customers were making "strategic, long-term commitments" to the tech giant. Analysts noted that while the cloud business grew at a slower pace of 46 percent than investors expected, the company expects revenue from the business to accelerate from next quarter, which helps ease market concerns. "Microsoft's second and third quarters, as well as management's attitude, should be seen as a positive indicator of digital transformation spending in 2022."
Wedbush: Microsoft was given an outperform rating with a price target of $375
Daniel Ives, an analyst at Wade Bush, said: "In a market full of tensions, Microsoft's earnings report on Tuesday is one of the most important and historic moments in financial markets. Wall Street as a whole is watching Microsoft's performance closely. The company lived up to expectations by giving 'long-term' robust cloud business guidance that would calm the market and be an important data point for Microsoft and the tech industry as a whole." In addition, the analyst firmly believes that while the market is nervous due to the imminent tightening of policy by the Federal Reserve and the valuation of the tech industry is also falling sharply, as part of the fourth industrial revolution, the potential digital transformation growth is accelerating, rather than decelerating by 2022.
As of press time, Microsoft was up 0.16% at $297.19.
Credit Suisse: The epidemic and the shortage of riders have slowed takeaway orders, maintaining the "outperform the market" rating of Meituan
Credit Suisse issued a report pointing out that it has recently learned through mainland takeaway delivery agents that due to the resurgence of the new crown epidemic (which has a greater impact on remote cities), the shortage of riders (especially in large cities and South China) and related subsidy reductions, the recent takeaway orders in the mainland have slowed down, and it is estimated that the growth of the industry has gradually slowed down, but the further increase in the frequency of orders will continue to be the main driving force supporting growth.
Due to the tight supply of riders and the need to cover social security, the bank expects that the cost of riders will remain high, and with the pilot coverage of social insurance having begun, it is expected that the mainland will carry out more extensive promotion in large cities this year. However, it is understood that the willingness of riders to participate is still low, and more riders may choose to switch to "part-time" mode.
Credit Suisse pointed out that in terms of market competition, Ele.me has made progress, but the competitive landscape has remained stable, and it is expected that $Meituan-W (03690.HK) $ is still leading in user traffic and market share. The bank maintained its "outperform" rating and target price of HK$290 for Meituan.
Meituan closed down 6.93% today at HK$209.40.
According to Futu Niu data, as of January 26, Credit Suisse's shareholding ratio was 0.13%.
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