Blowout Big Tech Earnings: AAPL, MSFT, GOOG/GOOGL, FB
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This week is the biggest earnings week of the season. All of the Big 5 (APPL, AMZN, MSFT, GOOG/GOOGL, FB) have/are reporting as well as many other important companies. In this morning’s blog, I’m going to focus in on the incredible earnings posted by Apple (AAPL), Microsoft (MSFT), Google (GOOG/GOOGL) and Facebook (FB). (Amazon (AMZN) reports this afternoon and I’d expect similar blowout results based on what we’ve seen). To get as clear a look as possible at the strength of Big Tech’s earnings, I think the best strategy is to compare them with 1Q19 to avoid any distortions resulting from the impact of COVID which started to impact the global economy in 1Q20.
![](https://www.topgunfp.com/wp-content/uploads/2021/05/AAPL-1Q21-Earnings-Graphic-4.28.21-473x1024.png)
Let’s start with the most important stock in the market, Apple (AAPL). With a market cap of $2.27 trillion at yesterday’s (Wed 4/28) close, movements in AAPL have an outsized impact on the market cap weighted S&P 500 and NASDAQ. AAPL reported a monster quarter with Revenue of $89.6 billion and Net Income of $23.6 billion or $1.40/share. Those numbers are +54%, +104% and+128% compared to 1Q19. (EPS growth is notably higher than Net Income growth because AAPL has bought back almost 2 billion shares since 1Q19).
![](https://www.topgunfp.com/wp-content/uploads/2021/05/MSFT-1Q21-Earnings-Graphic-4.27.21-473x1024.png)
Let’s move on to Microsoft (MSFT). With a market cap of $1.93 trillion, MSFT packs quite the punch. While its earnings from Tuesday afternoon (4/27) were not well received with the stock down about 3% yesterday, the numbers appeared phenomenal to me. Revenue of $41.7 billion and Diluted EPS of $1.95 were +36% and +71% compared to 1Q19.
![](https://www.topgunfp.com/wp-content/uploads/2021/05/GOOG-1Q21-Earnings-Graphic-4.27.21-473x1024.png)
Next up: Google (GOOG/GOOGL – I refuse to call it Alphabet!). With a market cap of $1.6 trillion GOOG/GOOGL is obviously a major player. Revenue of $55.3 billion and EPS of $26.29 were +52% and +121% compared to 1Q19.
![](https://www.topgunfp.com/wp-content/uploads/2021/05/FB-1Q21-Earnings-Graphic-4.28.21-473x1024.png)
Last, let’s take a look at the baby Facebook (FB) with a market cap of only $885 billion. FB did not disappoint with Revenue of $26.2 billion and Diluted EPS of $3.30 – +74% and +75% compared to 1Q19.
On the back of AAPL and FB’s blowout earnings yesterday afternoon, the Futures are roaring this morning with NASDAQ Futures up more than 1% and S&P Futures almost 0.70%.