This Thursday is set to be a blow to technology's heavyweights, such as Amazon, Alphabet, Snap and Twitter reporting all its quarterly results.
Both Amazon and Alphabet, the parent company of Google, trounced consensus estimates last quarter, with Amazon really shaken the game on Wall Street with earnings per share increased over 1,157 percent year on year in July. But now that companies have a solid overview of far exceed expectations, investors can lose faith in the duo if they do not achieve the leaps in the elephant size again.
For Amazon, consensus estimates have been asked by S & P Global Market Intelligence predicted. Revenue falls on top of the company's guidance of $ 57.1
The alphabet, on the other hand, is expected to contract revenue of $ 34 billion, growing by 23 percent growth over the same period in 2017. In addition, the EU's $ 5 billion antitrust funding is expected to continue to weigh heavily on the company's profits.
Read more : Amazon doubles down on profits, but lacks projections
Analysis from investment company Hargreaves Lansdown said that it expects settlement between the two companies in the cloud computing sector when the Alphabet tries to push Amazon out of the global peak by plugging more investment into the subdivision. The alphabet said that the biggest head restraints were in its cloud industry last quarter, while Amazon's Web Services has historically proven to be its biggest profit engine.
Units will also prove to be an interesting battlefield, as Amazon's boss Jeff Bezos' Alexa ambitions go top-to-head with Google's revised smart home and phone tech updates.
At the same time Snap and Twitter are in for a rockers trip, both have disappointed investors on their last earnings call in July. Although Twitter posted its first quarterly earnings earlier this year, and Snap boss Evan Spiegel reinvigorated shareholders with promises of a profitable 2019 last month, user-friendly numbers on both social media apps have become cause for concern.
The American technology bubble as a whole led earlier this month, when a Wall Street slider caused mainly by rising interest rates, tech stocks struck the most difficult. The so-called FAANGs group, which includes Facebook, Apple, Amazon, Netflix and Google, lost a staggering $ 172 billion in market value in a single day.
Read more : Snap to challenge Netflix in new turn to the original script content
Additionally, Microsoft boss Satya Nadella is set to prove whether his faith in his cloud industry still has its near-meteoric growth in a second quarter.
In the first quarterly performance report on Wednesday night, investors will look at whether Microsoft, currently currently second to global market share behind Amazon, can beat Juli's impressive results for its cloud computing division. Its cloud solution Azure showed a 90 percent growth last year, which led to a slight increase of 53 percent in the commercial slider segment to $ 6.9 billion.
Consensus Calculations Coordinated by S & P Global Market Intelligence has predicted Microsoft's total revenue to fall even below the top range of corporate guidance of up to $ 28.1 billion, reaching $ 27.9 billion.
CMC Markets' chief analyst Michael Hewson said that the week's results will be held as an indicator of whether Microsoft can achieve the high full year 12 percent revenue growth target investors hope.