Earnings Calls
Week of May 25, 2026
Weekly Overview
The dominant theme of the week ending May 25, 2026 was a striking disconnect between top-line misses and bottom-line strength: 7 of 10 reporters missed revenue estimates, yet all 10 beat on EPS, suggesting widespread margin expansion and cost discipline across sectors.
Several stocks posted outsized moves that defied the headline numbers — Dell rallied 37.9% despite a $2B revenue miss, while Costco sold off 4.7% on an in-line print.
The macro backdrop featured continued uncertainty around enterprise spending cycles and consumer demand elasticity, with tariff-related cost pressures surfacing across hardware and retail names.
The most notable cross-sector pattern was that companies demonstrating AI-linked demand drivers or margin improvement narratives were rewarded disproportionately relative to their revenue results.
AZO
AutoZone, Inc.- EPS beat by $1.90 (5.3%) — strong margin execution
- Revenue missed by ~$600M — largest recent shortfall for AZO
- Price reaction data unavailable for this reporting period
AutoZone has maintained a strong EPS beat rate over recent quarters, frequently exceeding consensus by mid-single-digit percentages or more, driven by disciplined cost management and share repurchases. The $1.90 EPS beat (5.3% above consensus) is consistent with AutoZone's pattern of bottom-line outperformance, though the $600M revenue miss ($4.3B vs. $4.9B) represents an unusually wide shortfall relative to the company's typical close-to-consensus top-line prints. Post-earnings price reactions for AZO have historically been moderate, with moves generally in the low-to-mid single-digit percentage range.
Forward attention for AutoZone centers on same-store sales trends, particularly the cadence of DIY versus commercial (DIFM) growth, and whether the revenue shortfall reflects demand softness or timing factors. Management typically provides commentary on store opening plans, commercial program expansion, and the impact of weather patterns on near-term demand. Margin trajectory and the pace of share buybacks — a key EPS driver — remain focal points for analysts modeling the stock's forward earnings power.
AutoZone's quarter featured a meaningful divergence between a strong EPS beat and a significant revenue miss of approximately $600M, suggesting margin improvement offset weaker-than-expected demand or a shift in product mix. Without available price reaction data, the market's interpretation of whether the profitability strength or the top-line shortfall carries more weight remains unclear. The magnitude of the revenue miss relative to AutoZone's typical precision in meeting top-line estimates makes this a notable departure from the company's recent reporting pattern.
ZS
Zscaler, Inc.- Fourth consecutive EPS beat — $1.08 vs. $1.01 estimate
- Revenue missed by $28M — unusual for Zscaler's recent pattern
- Price reaction data unavailable for this reporting period
Zscaler has beaten EPS estimates for at least four consecutive quarters, reflecting a consistent pattern of profitability outperformance as the company has scaled its zero-trust security platform. Revenue misses have been less common for Zscaler historically; the $28M shortfall ($850M vs. $878M) represents a notable deviation from the company's recent track record of meeting or exceeding top-line expectations. Post-earnings moves for ZS have tended to be volatile, with swings of 10% or more not uncommon following quarterly reports.
Analyst focus for Zscaler is centered on billings growth, remaining performance obligations (RPO), and net retention rates as the primary leading indicators of future revenue trajectory. Management commentary on large deal momentum, federal sector pipeline, and competitive dynamics against legacy firewall vendors will shape forward estimates. The expansion of Zscaler's platform into data protection, AI security, and digital experience monitoring represents incremental TAM that the market is actively sizing into forward models.
Zscaler delivered its fourth consecutive EPS beat but missed revenue by $28M, creating a mixed signal for a company whose valuation depends heavily on sustained top-line growth. Without price reaction data available, the market's weighting of profitability improvement versus decelerating revenue growth is not directly observable. The revenue miss raises questions about whether enterprise cybersecurity spending is facing elongated deal cycles or competitive pressure on Zscaler's growth rate.
CRM
Salesforce, Inc.- EPS beat by 24% — $3.88 vs. $3.13, among largest recent surprises
- Revenue missed by $200M — fourth quarter of top-line softness
- Stock reversed from -1.6% next-day to +6.7% weekly gain
Salesforce has beaten EPS estimates for at least four consecutive quarters, with the magnitude of beats expanding as the company has aggressively managed costs and improved operating margins. The $0.75 EPS beat (24% above consensus) is among the larger surprises in Salesforce's recent history, though revenue misses have become a recurring pattern as the company prioritizes profitability over top-line growth. Post-earnings moves for CRM have historically been volatile, with initial after-hours reactions sometimes reversing over the following sessions.
The market is focused on Salesforce's cRPO (current remaining performance obligations) growth rate, Data Cloud and AI-related product adoption, and full-year operating margin targets as the key drivers of forward estimates. Agentforce — Salesforce's AI agent platform — is the central narrative, with analysts tracking enterprise deployment metrics, pricing realization, and whether AI initiatives are translating into incremental bookings or merely replacing legacy product spending. Management's commentary on macro demand conditions, deal compression, and the competitive positioning against Microsoft, ServiceNow, and emerging AI-native platforms likely shaped the call's tone.
Salesforce's 24% EPS beat was offset by a $200M revenue miss, and the stock's initial -1.6% next-day reaction reversed into a +6.7% weekly gain, suggesting the market ultimately rewarded the profitability narrative and forward AI-related catalysts over the top-line shortfall. The divergence between after-hours and weekly performance indicates that the earnings call commentary — likely centered on Agentforce traction and margin expansion — shifted sentiment after the initial headline reaction. This pattern is consistent with Salesforce's recent tendency to sell off on revenue misses before recovering as margin and AI narratives reassert.
HPQ
HP Inc.- Double beat — EPS +19.4% above estimate, revenue topped by $100M
- Stock rallied +10.7% for the week — well above typical HPQ moves
- Current price ($27.04) exceeds analyst target ($22.40) by 21%
HP Inc. has beaten EPS estimates for two consecutive quarters, and the $0.14 beat (19.4% above consensus) is a notably large surprise relative to HP's typical low-to-mid single-digit EPS beat magnitudes in recent years. The revenue beat, while narrow at $100M, is significant for HP given the company's recent history of top-line misses amid PC market softness. Post-earnings moves for HPQ have generally been subdued, making the +10.7% weekly rally an outsized reaction by the stock's historical standards.
Forward focus for HP centers on the PC refresh cycle trajectory — particularly enterprise upgrade demand tied to Windows lifecycle transitions and AI PC adoption — and the sustainability of printing segment margins. Management typically guides on next-quarter EPS and full-year free cash flow, with analysts closely watching for commentary on tariff-related cost headwinds in the supply chain. The trajectory of HP's share repurchase program and capital allocation strategy remain important to forward EPS modeling given the stock's historically compressed valuation multiple.
HP delivered a clean double beat — the first in multiple quarters — and the stock's +10.7% weekly gain significantly exceeded the company's typical post-earnings move, suggesting the market interpreted this as a potential inflection in the PC demand cycle. The current price of $27.04 trading well above the $22.40 analyst price target indicates the earnings print prompted a material reassessment of HP's near-term trajectory. The combination of a 19.4% EPS beat and a rare revenue beat drove the outsized reaction.
MRVL
Marvell Technology, Inc.- Revenue missed by ~$300M (~11%) — significant for a high-growth semi
- EPS beat was marginal at $0.01 above consensus
- Stock declined only -1.6% — muted reaction given the miss magnitude
Marvell has beaten EPS estimates for two consecutive quarters, though the magnitude of beats has been narrow — the $0.01 beat this quarter (1.3% above consensus) continues that pattern. The $300M revenue miss ($2.4B vs. $2.7B expected) is a significant shortfall, representing an approximately 11% miss that is large by Marvell's recent standards and by semiconductor sector norms. Post-earnings moves for MRVL have been amplified in recent quarters due to the stock's high multiple tied to AI/data center expectations.
Analyst attention is centered on Marvell's custom silicon and electro-optics revenue streams tied to hyperscaler AI infrastructure buildouts, which are the primary drivers of the company's premium valuation. Forward estimates hinge on the pace of custom ASIC ramps with key cloud customers, the trajectory of data center switching revenue, and whether networking and storage segments stabilize. Management's commentary on design win pipeline, customer concentration risk, and the timing of next-generation product revenue recognition likely dominated the call.
Marvell's $300M revenue miss overwhelmed a marginal EPS beat, and the stock's -1.6% weekly decline was relatively contained given the magnitude of the top-line shortfall, suggesting the market may have viewed the miss as timing-related rather than structural. The narrow EPS beat despite the large revenue miss implies either favorable mix shift or one-time items supported profitability. The muted negative reaction is notable for a high-multiple semiconductor name where revenue growth expectations are the primary valuation driver.
SNOW
Snowflake Inc.- Stock surged +43.9% for the week — extreme outlier reaction
- Fourth consecutive EPS beat — $0.39 vs. $0.32 estimate (21.9%)
- After-hours dipped -1.3% before reversing to +34.7% next day
Snowflake has beaten EPS estimates for four consecutive quarters, reflecting improving cost discipline as the company matures past its early hypergrowth phase. Post-earnings reactions for Snowflake have historically been among the most volatile in enterprise software, with moves of 15-25% not uncommon, though the +34.7% next-day rally and +43.9% weekly surge represent extreme outliers even by SNOW's standards. The stock's current price of $255.55 approaching the $277.03 analyst target suggests the move has largely priced in near-term upside consensus.
The market's primary focus for Snowflake is product revenue growth (particularly consumption-based trends), net revenue retention rate, and the contribution of AI/ML workloads to platform usage. Forward estimates are shaped by Snowflake's ability to expand its platform into data engineering, data sharing via Snowflake Marketplace, and the emerging Cortex AI suite for LLM-powered analytics. Management's forward guidance on remaining performance obligations and product revenue growth rates, along with commentary on competitive positioning against Databricks and cloud-native analytics, are the key inputs for analyst models.
Snowflake's 21.9% EPS beat triggered one of the most dramatic post-earnings moves in recent enterprise software history, with the stock surging +34.7% the next day and +43.9% for the week despite the absence of reported revenue data in this dataset. The magnitude of the reaction — far exceeding the EPS beat alone — strongly suggests the earnings call contained highly positive forward commentary, likely around AI-driven consumption acceleration or a material guidance raise. The move brought the stock within 8% of the analyst consensus price target, indicating the rally rapidly repriced the stock toward what had been viewed as upside scenario valuations.
SNPS
Synopsys, Inc.- Stock fell -11.0% for the week — steepest decline among reporters
- Revenue missed by ~$100M despite EPS beat of 6%
- Selloff severity unusual for a predictable EDA revenue model
Synopsys has beaten EPS estimates for two consecutive quarters, though the $0.19 beat (6% above consensus) this quarter is in line with the company's typical low-to-mid single-digit surprise range. The $100M revenue miss ($2.3B vs. $2.4B) is notable for Synopsys, which has historically been a relatively precise revenue reporter given its large recurring revenue base from EDA tool licenses. The -10.1% next-day decline is among the steeper post-earnings drops for SNPS in recent years, suggesting the market interpreted the miss as more than a one-quarter aberration.
Forward focus for Synopsys is on the trajectory of EDA design activity tied to semiconductor complexity and AI chip proliferation, the contribution from the pending or completed Ansys acquisition integration, and the company's ability to maintain premium pricing in an oligopolistic EDA market. Management typically provides full-year revenue and EPS guidance, and any adjustments to the annual outlook would carry significant weight given the stock's premium valuation. Commentary on China-related export control impacts, backlog conversion rates, and IP licensing trends likely shaped analyst questions on the call.
Synopsys's -10.1% next-day drop and -11.0% weekly decline despite a 6% EPS beat indicate the market assigned far greater weight to the $100M revenue miss and likely any associated forward guidance reduction. For a company with Synopsys's predictable revenue model, a miss of this magnitude signals potential disruption in the EDA demand pipeline or deal timing issues that concern investors about near-term growth. The severity of the selloff — the steepest among this week's reporters — stands in contrast to more muted reactions at other companies with larger revenue misses, suggesting Synopsys-specific factors drove the reaction.
COST
Costco Wholesale Corporation- Narrowest EPS beat in four quarters — $0.01 above estimate
- Revenue exactly in line at $69.6B — no positive surprise
- Stock fell -4.7% — premium valuation left no room for in-line results
Costco has beaten EPS estimates for four consecutive quarters, though the $0.01 beat this quarter is the narrowest in that streak, suggesting expectations had been more precisely calibrated. Revenue came in exactly in line at $69.6B, consistent with Costco's pattern of delivering highly predictable top-line results driven by membership-driven recurring traffic. Post-earnings reactions for Costco tend to be moderate, though the -4.7% decline is at the larger end of the company's recent post-earnings move distribution.
The forward focus for Costco centers on comparable sales growth (especially ex-gas, ex-FX), membership fee revenue trajectory following recent fee increases, and e-commerce penetration gains. Management's commentary on consumer spending patterns, basket composition shifts, and private-label (Kirkland Signature) margin contribution are critical inputs for the forward model. Analysts are closely monitoring whether Costco's traffic-driven model continues to gain share in a cautious consumer environment, and any updates on international expansion and warehouse opening cadence inform longer-term growth estimates.
Costco's -4.7% selloff on an in-line revenue print and a marginal $0.01 EPS beat suggests the stock's elevated valuation left no room for a print that merely met expectations without positively surprising. The reaction reflects a market that had priced in upside and was unrewarded — the narrowest EPS beat in four quarters likely disappointed investors accustomed to Costco's recent pattern of more decisive outperformance. This represents a case where meeting consensus was treated as a de facto miss given the stock's premium multiple.
DELL
Dell Technologies Inc.- EPS beat by 64.2% — $4.86 vs. $2.96 estimate, historic surprise
- Stock surged +37.9% despite a $2B revenue miss
- Current price ($420.91) is nearly 2x the analyst target ($220.26)
Dell has beaten EPS estimates for three consecutive quarters, and the $1.90 beat (64.2% above consensus) is by far the largest in that streak and among the largest EPS surprises in Dell's reporting history as a re-listed public company. The $2B revenue miss ($33.4B vs. $35.4B) is a significant shortfall, yet the stock's +37.9% weekly surge indicates the market entirely discounted the top-line number. Post-earnings moves of this magnitude are historically rare for Dell, which has typically seen low-to-mid single-digit post-earnings reactions.
The market's forward focus for Dell is squarely on AI server and infrastructure revenue — particularly the backlog and order pipeline for GPU-accelerated systems sold to hyperscalers and enterprises — and the margin profile of that business versus traditional server and PC segments. Management's commentary on AI server demand visibility, supply chain capacity for next-generation GPU platforms, and the profitability of AI infrastructure deals versus commodity hardware drives the forward narrative. The ISG (Infrastructure Solutions Group) segment's growth rate, ASP expansion, and customer diversification beyond the largest cloud providers are the key variables for forward estimates.
Dell's +37.9% weekly rally on a $2B revenue miss is the most extreme positive reaction-to-miss disconnect of the week, driven entirely by a 64.2% EPS beat that was the largest in the company's recent history and likely accompanied by highly positive AI-related forward commentary. The stock's move to $420.91 — nearly double the $220.26 analyst price target — indicates a wholesale repricing of Dell's earnings power that consensus estimates had dramatically underestimated. The market's complete disregard of the revenue miss in favor of the profitability signal underscores that Dell's investment thesis has shifted from a top-line growth story to an AI-driven margin expansion narrative.
DLTR
Dollar Tree, Inc.- Clean double beat — EPS +14.3%, revenue +$200M above estimate
- Stock surged +21.5% — extreme outlier reaction for DLTR
- Fourth consecutive EPS beat signals turnaround momentum
Dollar Tree has beaten EPS estimates for four consecutive quarters, and the $0.22 beat (14.3% above consensus) is among the larger surprises in that streak. The $200M revenue beat ($5.0B vs. $4.8B) represents a clean double beat, which has been relatively rare for Dollar Tree during its multi-year turnaround effort. The +21.5% weekly rally is an extreme outlier for DLTR post-earnings reactions, which have more typically been in the mid-single-digit range even on positive surprises.
Forward focus for Dollar Tree is on same-store sales trajectory at both the Dollar Tree and Family Dollar banners, the progress of the multi-price-point strategy rollout, and the path to margin recovery at the Family Dollar segment. Management's commentary on tariff exposure (given high import penetration from China), consumer trade-down trends, and store optimization (closures and conversions) are the key inputs for forward estimates. Any updates on the potential sale or strategic alternatives for the Family Dollar banner remain a significant catalyst for the stock's forward valuation framework.
Dollar Tree's clean double beat and +21.5% weekly surge represent the strongest positive reaction in the discount retail space in recent memory, suggesting the market interpreted this as evidence that the company's turnaround is gaining traction. The 14.3% EPS beat and $200M revenue upside together signaled both improving traffic and better cost execution, addressing two of the market's primary concerns about the name. The magnitude of the move — bringing the stock close to the $121.30 analyst price target from a much lower base — indicates that expectations had been sufficiently depressed to create a significant re-rating opportunity.