The US stock market closed mixed on Wednesday as investors digested the latest Federal Reserve monetary policy statement and comments by Chair Jerome Powell. The Federal Reserve’s Federal Open Market Committee (FOMC) also announced that it will leave the target range for its key interest rate at 0% to 0.25%.
The Fed chairman noted that the first interest rate hike could be announced in March, while also revealing that the Fed’s balance sheet will be decreased in a “predictable manner.”
The Dow Jones fell 0.38% at market close, the Nasdaq 100 was up 0.17% while the S&P 500 was down 0.15%.
Microsoft Earnings
Microsoft Corporation on Tuesday announced its revenue in the second quarter of the fiscal year 2022 rose by 20% on an annual level to $51.7 billion.
The technology giant’s net income increased by 21% in comparison to the same period in 2020 to $18.8 billion. Operating income rose by 24% to $22.2 billion.
“As tech as a percentage of global GDP [gross domestic product] continues to increase, we are innovating and investing across diverse and growing markets, with a common underlying technology stack and an operating model that reinforces a common strategy, culture, and sense of purpose.” said Microsoft’s Chairman and Chief Executive Officer (CEO) Satya Nadella.
Tesla Earnings
Tesla Inc. reported its earnings on Wednesday with total revenues for the final quarter of 2021 rising by 65% to $17.7 billion. Automotive revenues surged by 71% to $15.97 billion in the fourth quarter of 2021 while net income skyrocketed 760% year on year to $2.3 billion.
Diluted earnings per share (EPS) attributable to common stockholders were 754% higher on the year and came in at $2.05.
The automaker produced 305,840 vehicles in the quarter, 70% more year-over-year, while it made 308,650 deliveries, representing a 71% annual jump.
For the entire 2021, the revenue was up 71% to $53.8 billion, while automotive revenues rose 73% to $43.2 billion. Net income for the entire year reached $5.5 billion after a 665% jump, (diluted earnings per share of $4.9). Tesla’s production and deliveries in the entire 2021 flew 83% and 87% to come in at 930,422 and 936,222, respectively.
Intel Earnings
Intel Corporation on Wednesday reported that its revenue for the fourth quarter of 2021 grew by 3% to reach $20.5 billion. Net income for the period under review fell 21% to $4.6 billion.
In full fiscal 2021, revenue was $79 billion, up 1% from the previous year. Earnings per share decreased 2% to land at $4.86 and net income declined 5% to $19.9 billion.
AT&T Earnings
AT&T Inc. said on Wednesday that its revenue in the fourth quarter of the fiscal year 2021 declined by 10.4% to $41.0 billion. Net income was $5.0 billion, from the net loss of $13.9 billion reported in the same period in 2020.
Boeing Earnings
The Boeing Company on Wednesday said that its revenue in the fourth quarter of 2021 rose by 3% to $14.8 billion. Net loss improved to $4.2 billion, from a loss of $8.4 billion in the final quarter of 2020.
The aerospace company stressed that its 787 program took a $3.5 billion pre-tax charge amid production issues. Boeing noted it “continues to perform rework on 787 airplanes in inventory and is engaged in detailed discussions with the FAA regarding required actions to resume deliveries.”
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