[ad_1]
- Momentum factors have revived in recent months, led by strong rebounds in artificial intelligence-related stocks and healthcare industry giants
- Two companies, one in each sector, hosted investor events this week ahead of their respective second-quarter quarterly earnings reports.
- Ahead of the next reporting period, we focus on additional sessions to monitor trends in company health across industries
Momentum has been a strong force so far in 2024. In fact, so far this year, the best-performing company stocks at the end of last year continue to be among this year’s leaders across all equity factors, according to the data. S&P Dow Jones Indices.1 The catalysts that propel momentum stocks to all-time highs are a theme well known to the public and market observers alike. The artificial intelligence revolution and clinical advances in weight loss drugs have become mainstream, with benefits to the corporate world and personal health already occurring.
Companies such as Nvidia (NASDAQ: ) and Eli Lilly (NYSE: ) have become megacap stalwarts and are now among the 10 most valuable public companies in the world.2 Their respective rivals also performed well. Shares of Broadcom (NASDAQ: ) and Novo Nordisk (NYSE: ) are near all-time highs, and both stocks are trading with high momentum today.
As the fourth-quarter 2023 earnings season approaches, shareholder and analyst meetings will be critical for investors seeking to effectively manage risk. March is a busy time for such activity, according to Wall Street Vision data. This week, both AVGO and NVO held corporate gatherings that could reveal the latest artificial intelligence trends and the latest developments in the GLP-1 drug market. Then next week, keep an eye out for potential volatility in two S&P 500® stocks — the stocks we’ll focus on later.
Today – March 20: Broadcom (AVGO) Investor Conference
First, Broadcom will host an Infrastructure AI investor conference on Wednesday, March 20. Charlie Kawwas, president of the Semiconductor Solutions Group and general manager of Broadcom’s commercial chip portfolio, will be in attendance during the morning, with the event expected to conclude at 10:45 a.m. Pacific time.
Recall that AVGO beat analysts’ bottom-line estimates in its most recent quarterly report. First-quarter non-GAAP earnings were $10.99, beating Wall Street consensus forecasts, while revenue rose 34% year over year to $11.96 billion.3 The company has been buying back shares and the stock price has been on a strong upward trend since October 2022.
Nonetheless, since the March 7 quarterly report, bears have once again asserted themselves. Despite a series of EPS upgrades and price target increases over the past few months, shares remain well off their highs of $1,438. While anything can happen at Investor and Analyst Day events, it’s not uncommon for new business updates to provide additional insights into the fiscal year ahead.
Looking ahead, Broadcom will hold its annual shareholder meeting on April 22 and AMC will announce its unconfirmed second-quarter 2024 earnings date on Thursday, May 30.
Broadcom: 2-year share price history
source: Stockcharts.com
March 21: Novo Nordisk (NVO) Shareholders Meeting
Following the U.S. Food and Drug Administration’s approval of Wegovy as a treatment for cardiovascular risk,4 The second-largest non-U.S. company by market capitalization will hold its annual shareholder meeting on Thursday, March 21. The event follows a generally upbeat Capital Markets Day held by the Danish healthcare company on March 7.5 The stock surged from below $125 to an all-time high above $138 earlier this month following encouraging early phase I trial results for its experimental oral obesity drug.6
However, in its latest earnings reports, Ozempic and Rybelsus posted strong profits but Wegovy and Saxenda posted slightly lower results, according to analysts at Bank of America Global Research. During its investor day, the company confirmed that it expects Phase 2 trials to begin in the second half of this year, with results expected in early 2026.
This is good news for Novo and Eli Lilly and Company. Will there be further updates at the AGM? While we can never know for sure, and this may be a quieter event compared to Capital Markets Day, quarterly earnings results for the first quarter of 2024 are not far away. Europe’s largest company by market capitalization reports on Thursday, May 2, and on Friday, March 22, both BMO and US ADR shares traded excluding dividends of $0.93.
Novo Nordisk (NVO): 2-Year Share Price History
Other company meetings are always available
The next few weeks leading up to the start of the first-quarter earnings season will be very busy with investor meetings and company events. UPS (UPS) will hold an investor and analyst day next Tuesday, March 26, and another artificial intelligence company, Adobe (NASDAQ: NASDAQ: ), is also hosting an investor conference on the same day. Next up, the Disney (DIS) shareholder meeting will be held on April 3, along with Schlumberger (NYSE: ).
bottom line
Investor and analyst events and industry conferences take center stage during earnings season. As artificial intelligence and GLP-1 weight-loss drugs capture the attention of momentum investors, big news is often released at important company meetings. Put Broadcom and Novo Nordisk on your watch list for potential moves this week as other high-profile large-cap stocks have events later this month and in April .
[ad_2]
Source link