The New York Stock Exchange closed slightly higher on Tuesday, continuing to climb to new highs on the back of strong corporate results despite supply constraints.
“It’s amazing how American companies have managed to cope with the challenges they face,” noted Art Hogan, head of strategy at National Securities, “whether it’s the lack of manpower, insufficient, rising costs… ”
The enthusiasm continued after the close, fueled by the results of the tech giants. Alphabet, the parent company of Google, saw its third-quarter revenue jump 41% to $ 65 billion, with the internet giant posting $ 18.9 billion in net profit, well above expectations. Marlet.
The world leader in online advertising, which has been the subject of numerous investigations and prosecutions on suspicion of anti-competitive practices, continues to reap more revenue from both YouTube and its search engine. From July to September, its video service sold $ 7.2 billion of finely targeted advertising space according to content and users, against 5 billion during the same period last year, according to a press release. results published Tuesday.
Its cloud computing business generated nearly $ 5 billion in revenue, up 45% year-on-year.
Microsoft also unveiled in the early evening results exceeding analysts’ expectations, propelled by a 36% growth in its revenues generated by its cloud computing activity. Its share price remained stable in the first hours of post-trade trading. In the first quarter of fiscal 2022, its revenues reached $ 45.3 billion, of which $ 16.98 billion was in the cloud, and earnings per share were US $ 2.71.
In contrast, Twitter recorded in the third quarter a very heavy loss of 537 million, linked to an amicable agreement with shareholders who considered themselves aggrieved, but recorded an increase in its advertising revenue when other players sector suffered. The social network announced, at the end of September, the payment of 809.5 million to settle a dispute which concerned the communication of the company in early 2015, deemed misleading by several shareholders, at the origin of a legal action.
However, despite this air hole, investors welcomed these results, the title taking 3% in electronic exchanges after the close of Wall Street. The group with the blue bird has indeed recorded a turnover in line with expectations, at 1.28 billion, with advertising revenues up 41% over one year and even 8.5% from quarter to quarter. the other.
Twitter is doing well this quarter when other social networks, primarily Facebook, suffered from the effects of an update to the iPhone operating system. IOS version 14.5 asks the user if they want to allow an app downloaded on the iPhone to follow its online journey outside of the app. As a result of these changes, many of the tools previously used by advertisers to measure the effectiveness of their advertising campaigns are no longer effective.
The action of Facebook suffered on the stock market (-3.9% to 315.81 dollars) from disappointing results announced the day before, marked by a turnover and a number of users below expectations.