Rogers Communications (NYSE: RCI) stock posted substantial gains over the last week of trading. The company’s share price gained 8.2% across the stretch and had briefly been up as much as 11.7%. Meanwhile, the S&P 500 gained roughly 0.5% in the week, and the Nasdaq Composite‘s level rose 1.5%.
Stocks broadly moved higher this week on hopes that the war in Iran will continue winding down, and Rogers stock also got a boost from the company’s first-quarter results. Despite the post-earnings pop this week, Rogers is still down 4.4% year to date.
|
Will AI create the world’s first trillionaire? Our team just released a report on a little-known company, called an “Indispensable Monopoly,” providing the critical technology Nvidia and Intel both need. |
Rogers recorded earnings per share of 1.01 Canadian dollars (CAD) on revenue of 5.48 billion CAD. While the company’s per-share profit came in roughly 0.01 CAD below expectations, the performance still represented an improvement over the earnings of 0.99 per share recorded in the prior-year period. More importantly, sales for the period grew 10% year over year and significantly exceeded the average Wall Street analyst estimate. With the business unexpectedly posting double-digit sales growth in the quarter, the modest miss on earnings looks like no real concern.
Rogers is guiding for annual revenue to increase between 3% and 5% this year. While that suggests a significant deceleration compared to the growth rate in Q1, it reiterated the guidance management issued with the company’s Q4 report — and recent momentum suggests the business could post performance at the higher end of that target range. Competition in the telecom space is likely to remain intense, but the company’s recent quarterly report and guidance were encouraging because they support the thesis that the business is still capable of at least delivering mid-single-digit growth.
Before you buy stock in Rogers Communications, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Rogers Communications wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $498,522!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,276,807!*
