Wall Street Is Raising Price Targets on These 3 Stocks Before Earnings!

Today, we are taking a look at three strong buy stocks that analysts are boosting their price targets on ahead of their upcoming earnings reports. So, let's get into it. All right, guys. Welcome back. It is Julie here with TipRanks. Thank you for being here today. Three companies in completely different industries are all set to report earnings in the next week or so, and Wall Street is getting increasingly bullish ahead of their results. So, today we're going to take a look at these companies, what it is that they do, and what those analysts are anticipating in their upcoming earnings calls. You can follow along over on the TipRanks website or right on the TipRanks mobile app, which you can download using links in the description below. And if you enjoy today's video, make sure you hit that thumbs up button and that you're subscribed to the channel. Now, let's dive right into our three strong buy stocks. First on the list is the stock with the biggest buzz surrounding their upcoming earnings. We're taking a look at Micron. They trade under the ticker MU, currently priced at $1,141 per share. The Micron stock has had a massive year, gaining over 750% and climbing 134% in just the past 3 months. In case you aren't familiar with the company, Micron is one of the largest memory chip manufacturers in the world. The company produces DRAM and NAND memory used in AI servers, data centers, PCs, smartphones, and a wide range of electronic devices. Micron has become one of the biggest beneficiaries of the AI boom because advanced AI systems require significantly more memory than traditional computing workloads. As AI adoption accelerates, demand for high-bandwidth memory and data center storage solutions continues to surge. Micron will be sharing their third quarter earnings report next week on June 24th, and the expectations are huge. When we check in with Samuel AI, they're expected to report revenue of $35.5 billion. That is nearly four times higher than the 9.3 billion reported in Q3 last year. On the earning side, earnings per share is anticipated at $20.57 versus $1.91 a year ago, an over 10.8 times increase. To put that into context, that single quarter's revenue guide exceeds Micron's entire annual revenue for any fiscal year through 2024. In their last earnings report back in March, Micron did exceed expectations and provided the strong guidance that this quarter's estimates are based on. Their Q2 earnings per share of $12.20 grew 682% year-over-year, and revenue climbed up to $23.9 billion, up 196% year-over-year and 75% sequentially. This was their fourth consecutive quarterly revenue record and the largest single quarter sequential increase in company history. Now, when I say that analysts have been increasing their price targets recently, I don't mean by a small amount. In the past week, we've had a handful of five-star analysts more than double their price targets on the Micron stock, including one at Stifel, who went from $550 up to 1,500. They're increasing their estimates significantly above consensus to reflect another big upward shift in AI-driven demand, noting that they now model a DRAM average selling price per gigabyte XHBM that is more than twice what it was implied in Micron's initial outlook. The Micron stock has 29 current analyst ratings, with 27 rating it a buy and two rating it a hold. The average price target of $1,154 does just have a slight upside of 0.8%, but we do have a wide range between our low and high price targets here. Bringing down that average is some older price targets from earlier in June, back in May, with downsides as much as 55%. When we look at the more recent ratings from this past week, the upside potentials range from a downside of 21% to an upside of 31%. The second stock seeing analysts bump up price targets is Carnival Cruise Lines. They trade under the ticker CCL, currently priced at about $31 per share. Their stock has gained over 26% in this past year and is up nearly 20% in the last 3 months. Carnival is the world's largest cruise operator, operating a fleet of over 90 ships across nine brands, including Carnival Cruise Line, Princess Cruises, Holland America, and Cunard. They essentially invented the modern mass market cruise industry and carry more passengers annually than any other operator on Earth. Carnival is scheduled to report their earnings on June 23rd. And coming off of a record Q1, analysts are watching to see if whether demand can hold up against a challenging backdrop with rising fuel costs and geopolitical uncertainty. Looking on Samuel AI, analysts are expecting earnings per share of 34 And that suggests that while the cruise business is growing revenue-wise, profitability is being pressured. Revenue is anticipated to come in at 6.69 billion, which would be a 6% year-over-year increase. And like I said, they did have a strong Q1 report last quarter, which was back in March. The company saw record revenue. Net income was $275 million, which was up 55% year-over-year and 40 million ahead of guidance. Their net yields rose 2.7% year-over-year and their customer deposits reached a Q1 record of almost $8 billion, up 10% from the prior year. Earnings per share came in at 20 cents, which did beat estimates by 2 cents and grew over 53%. The biggest headwind against Carnival has been elevated fuel costs, but in the past week we have had several analysts bump up their price targets, including one at Citi who boosted their target and earning estimates in the cruise space to reflect lower fuel costs and another at Stifel who believes that investors have already prepared themselves for Carnival to cut full-year yield guidance when they report on the 23rd. But they disagree with that sentiment and believe the company will not only beat their fiscal Q2 yield guidance, but will also be able to slightly raise their full-year guidance. With 21 current analyst ratings, the Carnival stock comes in as a strong buy with 18 buys and three holds. The average price target of $33 implies an upside of 7%. Once again, we have quite a range of low-end and high-end price targets with a notable bear here and a price target of $1.45. Looking at the recent readings down below, we can see that low-end price target here with a downside of 95% and in the past week they're ranging from quite a few at 16% upside to a high-end of 22.5% and last but not least, we're taking a look at TD Synnex. They trade under the ticker SNX, currently priced at $282. Their stock has gained 127% in the past year and in the last 3 months has gained 82% TD Synnex is one of the world's largest IT distribution and solution companies. They are the backbone of connecting tech vendors like Microsoft, Cisco, and Nvidia to the businesses and resellers that actually deploy and use those products. Think of them as the global supply chain layer of the tech industry. More recently, they've been rapidly scaling their AI infrastructure business called Hive, which assembles and delivers AI server systems directly to hyperscalers. TD Synnex reports on June 25th, and analysts are watching closely if Hive, their AI infrastructure unit, can sustain its massive growth trajectory. The big question is, can Hive continue to grow at near triple-digit rates, and is the company diversifying its Hive customer base beyond the two primary hyperscalers that drove most of last quarter's growth? For this upcoming quarter, they're anticipating earnings per share of $4.12, which would be a 38% increase year-over-year. And revenue of 16.8 billion would be 12% higher than last year's. At the end of March, they did see record results for their Q1, including a massive earnings per share beat. Q1 earnings per share of $4.73 came in well ahead of the $3.31 anticipated, growing nearly 69% year-over-year. The company reported gross billings of 25.8 billion, up 24% year-over-year, and their Hive non-GAAP gross billings of 3.8 billion was up 95%. And last week, we saw a handful of Wall Street analysts bumping up their price targets in anticipation of this next earnings report. The analyst at Bank of America bumped up their price target by $50, saying they expect a strong print when they report their Q2 results, and anticipate commentary around backlog and demand visibility to support confidence and guidance ahead of consensus for the September quarter. TD Synnex has eight current analyst ratings, coming in as a strong buy with seven buys and one hold. The average price target is $281, which would actually be a slight downside from today's price. But, when we look at those most recent ratings, they do have a big range from a downside of 28% to some more bullish price targets with upsides of over 13%. So, that is a quick look at three strong buy stocks, all with analysts increasing their price targets ahead of earnings. Let me know your thoughts on these companies and which one you think is going to come out with an earnings beat or if some of these results are already priced into the stock. I always appreciate hearing from you guys. Keep in mind these videos are never a suggestion to buy or sell any specific stock, so please always do your own research and due diligence. Thanks so much for watching. Have a great day and I'll see you back here next time.