SS #W31- RIP Mr. Sergio Marchionne


Caterpillar (NYSE: CAT)

Caterpillar Inc. manufactures and sells construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives for construction, resource, and energy and transportation industries.

Caterpillar is scheduled to release second quarter’s earnings announcement on Monday, July, 30th 2018.

In September 2015, Caterpillar set upon significant restructuring and cost reduction initiative, with actions expected through 2018. Once fully implemented, the plan would lower annual operating costs by about $1.5 billion. In second-quarter 2018, revenue growth along with cost reduction will lead to an improved bottom-line as well, which could push the stock significantly higher.

Apple Inc. (NASDAQ :AAPL)

Apple Inc. designs, manufactures, and markets mobile communication and media devices, and personal computers to consumers, small and mid-sized businesses. The company is involved in supporting education,while has a wide governmental customer base worldwide.

Apple is scheduled to release second quarter’s earnings announcement on Tuesday, July, 31st 2018.

In the last earnings call, Apple’s operating margin had fallen for the 10th consecutive quarter. It reported operating margin, which was 5.5 percentage points lower. In current earnings, Apple might still beat expectations on many other metrics, but it would be important to note, if they are able to erase the decline in operating margin. Apple’s iPhone X, Watch, and Services have not been able to prevent a fall in the last few quarters. Apple’s stock price is supported by its earnings, hence selling a few million extra iPhone units will not matter if operating margin hits rock-bottom.

Ferrari (NYSE: RACE)

Ferrari designs, engineers, produces, and sells luxury performance sports cars.

Ferrari is scheduled to release second quarter’s earnings announcement on Wednesday, August, 1st 2018.

RIP Mr. Sergio Marchionne

Ferrari on Saturday announced Louis Camilleri, the former chairman and CEO of Philip Morris International and a current Ferrari board member, will be the company’s new CEO. The news followed the surprise announcement that current CEO and chairman Sergio Marchionne was “unable to return to work” following health issues.

There are already grumblings among Ferrari investors, dealers and collectors about whether a former consumer-goods chief truly has the car expertise and specialized knowledge about the most storied and vaunted name in autos and racing to maintain its exclusivity.

Yet Camilleri may be just what Ferrari needs right now.

ActiVision Blizzard (NASDAQ: ATVI)

Activision Blizzard, Inc. develops and distributes content and services on video game consoles, personal computers (PC), and mobile devices.

ActiVision Blizzard is scheduled to release second quarter’s earnings announcement on Thursday, August, 2nd 2018.

E-sports has grown from a largely ignored and occasionally lampooned hobby into a phenomenon that has attracted millions of fans online and at massive live events, as well as lucrative primetime television deals. The question for video game publishers is how they will take advantage of e-sports now and in the future. Beyond e-sports, the key technology that video game makers are looking at is cloud gaming, also known as videogame streaming.  We know that ATVI had a great second quarter, what we have to look for during the report is the future.