AAA, i.e. Apple, Amazon, Alphabet - the potential for volatility after the results

The current earnings season on Wall Street seems to point to high volatility in individual stock prices, especially in tech. The share price of electric car maker Tesla has changed by 31% since the results were published. Share price Netflix increased by 13 percent, while after yesterday's publication of results, the price of Meta Platforms shares jumped by about 18 percent. at the opening of the session.

How much volatility can you expect from Apple, Amazon and Alphabet stock price due to performance?

Investors on the stock options market are trying to determine the answer to this question, and we will recalculate their valuations for stock prices at 16:00 CET on February 02.02.2023, XNUMX.

• Apple Lossless Audio CODEC (ALAC), — expected stock price volatility from 70 percent. probability is around 6%. till Friday.
• Amazon — expected stock price volatility from 70 percent. probability is around 11%. till Friday.
• Alphabet - Expected share price volatility from 70 percent. probability is around 7%. till Friday.

What are the expectations regarding the results of individual companies?

• Apple, the consensus expects sales and profits to decline: $1,94 EPS (estimate) vs. 2,10 last year and $121,19 billion in revenue (estimate) vs. 123,94 last year.
• Alphabet (Google): EPS $1,20 (estimate) vs. $1,53 last year and revenues (estimate) USD 75,62 billion vs. USD 75,33 last year.
• Amazon: $0,17 EPS (estimate) vs $1,39 last year and revenues (estimate) of USD 145,45 billion vs. USD 137,41 last year.

Due to more than 25 percent weight throughout Nasdaq 100 index, the high potential volatility of AAA companies, may affect its quotations.

US NDAQ 100 chart (CFD on NASDAQ100). Source: Next Generation platform

From the point of view of the graph CFD The U.S. tech index has been up about 18 percent since the end of December. Stocks smashed through potential resistance to a double-bottom pattern. Thus, the region of 12000 points. may indicate potential support. Resistance may be around the peak of 13700 points.