Quarterly earnings
Broadcom: chips ship, software sticks
Ruben Dalfovo
Investment Strategist
Looking for quick answers? We’ve put together the most frequently asked questions about earnings season to help you get clarity on top-of-mind fundamentals.
Earnings reports are just one piece in the complex machinery that makes financial markets move. They give a glimpse of how information flows between various players in the market. Simply put, the financial results that companies publish in earnings reports season inform analyst recommendations and, ultimately, how the stock trades. Observing this unfold can make you a well-informed investor, although it’s important to note that earnings reports season can make stock prices volatile and therefore you may want to avoid making long-term investment decisions based on short-term news.
A: Most publicly traded companies typically release their earnings reports in January, April, July and October, shortly after the end of each financial quarter.
The influence of earnings reports on stock price has more to do with how expectations line up with actual results, than with a company’s performance. For example, a stock can become volatile if earnings reports reveal a different picture of the company than what investors expected or experts predicted, either in a positive or negative way. That difference between expectations and reality can translate into a high trading volume within a short time. But if, for example, a company is expected to have negative results and the quarterly earnings report confirms this, then its stock price won’t necessarily fall.
EPS (earnings per share) is one of the most important indicators you should focus on as an investor when analysing a company’s earnings report. It shows how much money the company has made divided by the number of stocks that are in the company. Since EPS is a measure of profitability, it can be a good indicator for an attractive investment. However, a company’s EPS should always be considered along with other key metrics such as company assets, liabilities etc.
Earnings reports can impact stock prices both before and after they are released. Before release, analysts and investors try to predict results and as such create expectations for changes in that company’s value, which in turn influences the stock prices. Once the earnings report is published, the stock price can be once again impacted by whether the company’s results match the expectations or not, or by news from the management.
Companies that are listed for public trading must report their quarterly earnings in an effort to keep their shareholders informed about how the company is doing.
Revenue is the total amount of money a company brings in from its business activities—often called the “top line.”
Earnings, or net income, is what’s left after expenses, taxes, and costs are deducted from that revenue—commonly referred to as the “bottom line.”
Both matter: revenue shows how much a company sells, while earnings reveal how profitable it really is.
Public companies report earnings every quarter to give investors regular insight into their financial health and performance.
This reporting cycle aligns with regulatory requirements in many markets and helps maintain transparency between companies and shareholders.
Quarterly results also provide a way to assess progress toward annual goals—and can impact stock prices based on how results compare to expectations.
If a company reports earnings below analysts’ expectations, its stock price may fall—even if profits grew compared to the previous quarter.
That’s because markets tend to price in forecasts. Missing expectations can signal slower growth, cost concerns, or weakening demand.
However, not all misses are treated equally—context matters. Investors often look at forward guidance and other metrics to assess the bigger picture.
You can find earnings reports directly on a company’s investor relations website, or through financial news platforms and brokerage tools.
Saxo clients can track upcoming earnings dates using our Quarterly Earnings Calendar, and view results and insights within the trading platform.
Look for key figures like earnings per share (EPS), revenue, profit margins, and management commentary to get a fuller picture.