What to Watch in the Day Ahead - Tuesday, February 4

Ball

03/02/2025 19:30

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Google-parent Alphabet is expected to report a rise in its fourth-quarter revenue, aided by
strong digital advertising demand and growth in its cloud unit. Investors will be watching for
the company's outlook, trends on Google's AI initiatives including AI Overviews and Gemini, as
well as its capital spending plans.
    
AMD is expected to report a jump in its fourth-quarter revenue. Investors are likely to
scrutinize AMD's AI strategy as it faces competition from Nvidia and custom chipmakers.
    
Drugmaker Pfizer is expected to report fourth-quarter earnings a little over a month after it
forecast 2025 profit roughly in line with Wall Street expectations. The performance of its
COVID-19 vaccine, antiviral drug Paxlovid, and newer cancer drugs will be closely watched,
alongside any updates on its experimental obesity drug. Comments around any engagement with
activist hedge fund Starboard Value will also be of interest. Separately, Amgen is set to report
its fourth-quarter results. Investor focus will be on the performance of its drugs for
cholesterol, osteoporosis and thyroid eye disease along with any updates on the development of
its weight-loss drug. Additionally, Merck is slated to report fourth-quarter results. Investors
will look out for the drugmaker's 2025 outlook and comments regarding sales of its HPV vaccine,
Gardasil, in China. Meanwhile, Regeneron is expected to report its fourth-quarter results.
Investor focus will be on the drugmaker's 2025 outlook and performance of its eczema drug and
eye drug, which is facing competition from biosimilars.
    
The U.S. Labor Department's Job Openings and Labor Turnover Survey is likely to show 8 million
job openings in December, down from 8.098 million in the previous month. Additionally, the
Commerce Department's Census Bureau is expected to report that factory orders likely declined
0.7% in December after falling 0.4% in November.
    
Federal Reserve Vice Chair Philip Jefferson is slated to speak on the U.S. economic outlook and
monetary policy before the Lafayette College Economics Department Special Lecture in Easton.
(1930 ET/0030 GMT) Additionally, Atlanta Fed President Raphael Bostic is due to speak on housing
in a moderated conversation before a National Housing Crisis Task Force Meeting in Atlanta.
(1100 ET/1600 GMT) Meanwhile, San Francisco Fed President Mary Daly, is expected to participate
in a hybrid discussion, "The Economy 2025: the Impacts of Tariffs, Tax Cuts and Trump" before
the Commonwealth Club World Affairs of California in San Francisco. (1400 ET/1900 GMT)
    
PepsiCo is expected to post a slight rise in fourth-quarter revenue, benefitting from still
steady demand for sodas internationally, but taking a hit from lackluster sales in its snacking
department in the U.S. Investors will look out for comments on promotions, cost-saving
initiatives and outlook for the new fiscal year.
    
KKR is expected to post a jump in its fourth-quarter profit when the alternative asset manager
reports its earnings, driven by higher fee-related earnings.
    
Mondelez is expected to announce an increase in fourth-quarter revenue, on demand for its snacks
and confectionery. Investors will look out for comments on forecasts, impact, and efforts to
offset cocoa price inflation, including cost-saving measures and pricing strategies.
    
PayPal is expected to report a higher fourth-quarter revenue, thanks to strong holiday season
spending at the digital payments giant. Analysts and investors will be watching for the
company's outlook on spending growth in 2025 and its path to expanding operating margins.
    
Private equity giant Apollo Global Management is expected to post its fourth-quarter results.
Analysts expect the company to report higher fee-related earnings, thanks to a better
environment for dealmaking.
    
Electronic Arts is expected to report a slight fall in third-quarter bookings after the company
warned of weaker performance of its popular EA FC franchise and worse-than-expected sales for
its new Dragon Age title.
    
Global grains merchant Archer-Daniels-Midland is expected to report its fourth-quarter results.
The results will be closely watched by investors as the company continues to grapple with
accounting irregularities which forced it to correct six years of financial data.
    
Chipotle Mexican Grill is expected to post a rise in fourth-quarter revenue, helped by strong
demand for its burrito bowls and wraps. Investors will watch out for CEO Scott Boatwright's
plans for price hikes for the rest of the year, as well as comments on input costs.
    
Cosmetics giant Estee Lauder is expected to post a decline in second-quarter revenue, hurt by
sluggish demand for luxury goods. Investors will look for comments on demand, especially in
China, turnaround plans of the new CEO as well as annual forecasts.
    
Snap is expected to report higher fourth-quarter revenue, driven by strong digital advertising
spend on its platform during the crucial holiday shopping season when brands spend heavily to
promote their products and services. Investors will be looking for commentary on uncertainty
over a potential U.S. TikTok ban, benefits and risks of its app redesign, dubbed "Simple
Snapchat," and any impact from stronger U.S. dollar on the current quarter expectations.
Meanwhile, Spotify is expected to report higher fourth-quarter revenue, helped by price
increases of its premium plans and growing subscriber base. Investors will be looking for
commentary on how the Swedish audio streaming company's artificial intelligence initiatives are
helping it to boost its services.
    
Broadcasting company Fox Corp is expected to report a rise in its second-quarter revenue and
profit, helped by an uptake in political advertising spending in the run-up to the U.S.
presidential elections and incremental advertising earnings from Tubi, its ad-supported
streaming service.
    
Toymaker Mattel is expected to post fourth-quarter sales flat to last year owing to the strained
US consumer spending backdrop and fading benefits of Barbie sales last year. Investors will look
out for comments on tariff impacts, demand recovery and margin progress.
    
Marathon Petroleum is expected to report a lower fourth-quarter profit. Investors will look for
comments on Trump's tariff plans, first-quarter updates, and renewable fuels.
    
Farm and construction equipment maker CNH Industrial is expected to report a fall in quarterly
revenue when it reports its fourth-quarter results. Analysts expect the company to report a fall
in per-share profit as well.
    
Packaging firm Amcor is expected to report a rise in its second-quarter revenue, benefiting from
consecutive price hikes and easing input costs. Investors will be on the lookout for the
company's 2025 adjusted forecast.
    
Jacobs Solutions is set to report first-quarter results. The company is expecting to report
upbeat results on the back of growing global investment across life sciences, semiconductor and
data centers sectors. Investors expect Jacobs' strong backlog and investment pipeline to support
overall revenue growth.
    
Health insurer Centene is expected to report fourth-quarter results. Investors are expected to
look out for any changes to its 2025 profit forecast and any commentary on the company's medical
costs.
    
Edwards Lifesciences is expected to give its fourth-quarter results. Investor focus will be on
the performance of its artificial heart valves.
    
Beer can maker Ball Corp is expected to post a drop in fourth-quarter revenue, hurt by slowing
demand for alcoholic drinks. Investors will look out for progress on cost-cutting measures,
demand outlook and any potential impact from tariff changes.
    
Match Group is expected to post a decrease in its fourth-quarter revenue, as users cut back
spending on dating apps.
    
Commercial real estate investment trust Simon Property is expected to post a jump in
fourth-quarter revenue, helped by leasing demand for its shopping center real estate space.
Investors will watch for the annual forecast.
    
Prudential Financial is set to report its fourth-quarter results. Analysts expect a rise in
profit. Willis Towers Watson is set to report its fourth-quarter results. Analysts expect a rise
in profit.
    
In Latin America, Brazil's statistics agency, IBGE, is expected to report producer price index
figures for December. Investors will also look out for Mexico's S&P Global manufacturing PMI
data for January.

 (Compiled by Lactus Fernandes in Bengaluru; Edited by Vijay Kishore)
 ((Lactus.Fernandes@thomsonreuters.com;))