Some stocks due to report this week could make big moves in response to these numbers. The second-quarter earnings season kicked off in earnest last week with Wall Street giants like Citigroup and JPMorgan Chase, as well as Delta Air Lines and PepsiCo. About 5% of S&P 500 companies have already reported earnings, with index companies posting profit growth of more than 18%, according to FactSet data. This week will see some bigger earnings announcements, including from streaming giant Netflix and chip maker Taiwan Semiconductor. CNBC Pro used FactSet data to sift through stocks that could make big moves after earnings announcements, based on investor expectations in the options market. The picks are: Netflix reports second-quarter earnings on Thursday. The media platform’s shares have risen about 35% in 2024. Investors are keeping a close eye on Netflix’s performance after a strong earnings report last quarter that beat Wall Street expectations on the back of a 16% increase in subscribers. NFLX Netflix shares soaring since the start of the year. Analysts surveyed by LSEG expect Netflix to report earnings per share up about 40%. DR Horton shares are also expected to react to the latest financial release. The stock has risen about 1% since the start of the year. Based on the options market’s implied probability, the homebuilder’s shares are expected to move 5%. The company is scheduled to report financial results on Thursday for the third quarter of the fiscal year ended June 30. DR Horton was a notable winner last week after lower-than-expected inflation data, as investors retreated from technology stocks on hopes of lower interest rates. Taiwan Semiconductor will also report its latest quarterly results on Thursday. The stock has risen about 80% in 2024 on robust demand for artificial intelligence chips. The stock is expected to move more than 6% after the earnings release. In a recent note, Bank of America raised its profit forecasts for 2024, 2025 and 2026 ahead of its earnings release this week, citing optimism about further growth in demand for AI and cloud. Other stocks expected to rise after their earnings reports include United Airlines and Equifax.
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Netflix and these stocks are expected to see the biggest changes this week due to earnings
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