Earnings Preview: Adobe Systems Inc (ADBE), FedEx Corp (FDX), Oracle Corp (ORCL)

 @moranzhang
on June 14 2013 12:31 PM

Second-quarter earnings season officially starts in a couple of weeks and things aren’t looking too rosy.

According to FactSet, the estimated earnings growth rate for the second quarter is 1.1 percent, down from the 4.3 percent projected at the start of the second quarter (March 31).

One of the reasons for the drop in the expected earnings growth rate for the second quarter is the high percentage of companies issuing negative guidance. Of the 107 companies that have issued earnings per share (EPS) guidance for the second quarter, 86 have issued projections below the mean EPS estimate and 21 have issued projections above the mean EPS estimate.

Thus, 80 percent of the companies that have issued EPS guidance to date for the second quarter have issued negative guidance. This percentage is well above the five-year average of 62 percent, according to FactSet.

We ran a screen and produced a list of 10 notable companies set to report earnings between June 17-21. We've highlighted their expected reporting dates and times, along with analysts' earnings-per-share and revenue estimates from Reuters, as well as the stocks' year-to-date performances.

Tuesday After Market Close, or AMC:

Adobe Systems Inc. (Nasdaq:ADBE) is a diversified software company. The company has a market cap of $21.65 billion. It is expected to report FY 2013 second-quarter EPS of 34 cents on revenue of $1.01 billion, compared with a profit of 60 cents a share on revenue of $1.12 billion a year earlier. Adobe is trading at around $43.06 a share. So far this year, the stock has appreciated 14.4 percent.

Wednesday Before Market Open, or BMO:

FedEx Corp. (NYSE:FDX) is a holding company that provides a portfolio of transportation, online commerce and business services under the FedEx brand. The company has a market capitalization of $31.76 billion. It is expected to report FY 2013 fourth-quarter EPS of $1.97 on revenue of $11.45 billion, compared with a profit of $1.99 a share on revenue of $11.00 billion a year earlier. FedEx is trading at around $100.20 a share. So far this year, the stock has appreciated 9.2 percent.

Wednesday AMC:

Jabil Circuit, Inc. (NYSE:JBL) is a provider of worldwide electronic manufacturing services and solutions. The company has a market capitalization of $3.96 billion. It is expected to report FY 2013 third-quarter EPS of 54 cents on revenue of $4.37 billion, compared with a profit of 64 cents a share on revenue of $4.25 billion a year earlier. Jabil Circuit is trading at around $19.55 a share. So far this year, the stock has gained 1.4 percent.

Red Hat Inc. (NYSE:RHT) is engaged in providing open-source software solutions to enterprises. The company has a market cap of $8.76 billion. It is expected to report FY 2014 first-quarter EPS of 31 cents on revenue of $359.84 million, compared with a profit of 30 cents a share on revenue of $314.73 million a year earlier. Red Hat is trading at around $46.25 a share. So far this year, the stock has lost 12.8 percent.

Thursday BMO:

The Kroger Co. (NYSE:KR) is a retailer in the U.S. The company has a market cap of $18.27 billion. It is expected to report FY 2013 first-quarter EPS of 89 cents on revenue of $30.17 billion, compared with a profit of 78 cents a share on revenue of $29.07 billion a year earlier. The Kroger Co. is trading at around $35.07 a share. So far this year, the stock has gained 34.8 percent.

Rite Aid Corporation (NYSE:RAD) a retail drugstore chain in the U.S. The company has a market cap of $2.82 billion. It is expected to report FY 2014 first-quarter EPS of 8 cents on revenue of $6.28 billion, compared with a loss of 3 cents a share on revenue of $6.47 billion a year earlier. Rite Aid is trading at around $3.12 a share. So far this year, the stock has gained 129.4 percent.

Thursday AMC:

Oracle Corp. (Nasdaq:ORCL) is an enterprise software company. The company has a market cap of $159.41 billion. It is expected to report FY 2013 fourth-quarter EPS of 87 cents on revenue of $11.12 billion, compared with a profit of 82 cents a share on revenue of $10.95 billion a year earlier. Oracle is trading at around $33.84 a share. So far this year, the stock has appreciated 1.6 percent.

Tibco Software Inc. (Nasdaq:TIBX) is a provider of middleware and infrastructure software. The company has a market capitalization of $3.52 billion. It is expected to report FY 2013 second-quarter EPS of 18 cents on revenue of $246.55 million, compared with a profit of 26 cents a share on revenue of $247.36 million a year earlier. Tibco Software is trading at around $21.45 a share. So far this year, the stock has lost 2.5 percent.

Friday BMO:

CarMax, Inc (NYSE:KMX) is a retailer of used car. The company has a market capitalization of $10.45 billion. It is expected to report FY 2014 first-quarter EPS of 58 cents on revenue of $3.13 billion, compared with a profit of 52 cents a share on revenue of $2.77 billion a year earlier. CarMax is trading at around $46.53 a share. So far this year, the stock has gained 24.0 percent.

Darden Restaurants, Inc. (NYSE:DRI) is a company owned and full-service restaurant company. The company has a market capitalization of $6.84 billion. It is expected to report FY 2013 fourth-quarter EPS of $1.04 on revenue of $2.26 billion, compared with a profit of $1.15 a share on revenue of $2.07 billion a year earlier. Darden Restaurants is trading at around $52.79 a share. So far this year, the stock has gained 16.9 percent.

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