Earnings season 2017: POST forecast for AK Steel, Samsung, and AlcoaStaff Writer | January 24, 2017
This week major players will post their earnings. The tone will defined by electronic and industry, followed by jet makers and tech companies.
Earnings season The rebound in oil prices and consumer banking
AK Steel, being in the industry that has good prospects from U.S. President Donald Trump promises about returning jobs to America, is in a very good position to grow.
The value of the company increased steadily over the last year and on top of that it posted positive earnings during six straight quarters. POST expects EPS of $0.07 and revenue to be $1.43 billion.
The South Korean electronic company suffered a hit after the recall of the Galaxy Note 7 which saw some 2.5 million device out of the market. On the other hand smartphone shipment growth slowed which adds another burden on the company.
But Samsung is resilient: It doesn't depend on just one product: The company is developing and selling smartphone components, and their memory chips are almost everywhere. POST expects Samsung to post the highest profit in several years: $7.8 billion.
Similar to AK Steel, Alcoa is in the industry that feels optimistic about days ahead. But, this is the first time Alcoa is not the first to post earnings, and there are no downstream business this time.
All those possible negative effects may be outweighted by positive sentiment in the aluminum industry, even miners are seeing improved demand which in turns looks very good for Alcoa. POST expects EPS of $0.23, revenue $2.22 billion. ■