Core Insights - Meta Platforms and Microsoft are set to report their quarterly results on April 30, with both companies experiencing a decline of over 6% in stock prices in 2025, despite strong performance over the last three years [1] Meta Platforms - Q1 sales for Meta are expected to increase by 13% to $41.22 billion compared to $36.46 billion a year ago, with attention on the impact of U.S.-China trade tensions on advertising spend from major advertisers like Temu and Shein [2] - Q1 EPS is projected to rise by 10% to $5.21 from $4.71 in the same quarter last year, with Meta having exceeded the Zacks EPS Consensus for nine consecutive quarters, averaging a 13.77% earnings surprise in the last four reports [3][4] - Total sales for Meta are projected to rise by 12% in fiscal 2025 and by another 13% in FY26, reaching $208.4 billion, with annual earnings expected to increase by 1% this year and by 13% in FY26 to $27.38 per share [11] Microsoft - Microsoft's Q3 sales are anticipated to rise by 10% to $68.38 billion compared to $61.86 billion in the previous year, although the company faces challenges from higher tariffs and has recently canceled a $1 billion data center project in Ohio [5] - Q3 EPS is expected to increase by 9% to $3.20 from $2.94 in the prior period, with Microsoft having exceeded earnings expectations for 10 consecutive quarters, averaging a 4.34% EPS surprise in the last four reports [6][8] - Microsoft's top line is projected to expand over 12% in FY25 and FY26, with annual earnings expected to rise by 10% in FY25 and by another 13% in FY26 to $14.60 per share [11]
Time to Buy Microsoft or Meta Stock as Earnings Approach?