Weekly Earnings Outlook

Update 4 September

Decline in US Job Openings Sparks Cautious Optimism

The recent decline in job openings in the United States, by a substantial 338,000, brings the total number of job openings down to 8.827 million in July, marking the lowest level since March 2021. Equally noteworthy is the corresponding drop in job “quits” in the US, which decreased by 253,000 from June to 3.549 million in July. This, too, is a striking figure, as it represents the lowest level seen since early 2021.

Interestingly, investors are interpreting these developments as positive news. The fact that fewer job openings and fewer people voluntarily leave their current positions indicates that the labor market might finally be softening. This interpretation comes after a prolonged period of remarkable resilience in the job market, even in the face of slowing economic growth and the implementation of restrictive monetary policies. This shift in the labor market dynamics has led to cautious optimism among analysts and investors alike.

ADvTECH Limited (JSE: ADH)

ADvTECH, the parent company of prestigious educational institutions like Trinityhouse and Crawford, recently unveiled its impressive interim results for the first half of 2023, concluding on June 30. One of the critical drivers of ADvTECH’s success during this period was a substantial increase in student enrollment. This surge in student numbers, coupled with moderate fee increases across all segments of the education division, played a pivotal role in propelling the company’s financial performance. Notably, the group reported a remarkable 24% surge in headline earnings per share, reaching an impressive 84.3 cents per share. In addition to the remarkable increase in earnings per share, ADvTECH also reported a substantial 16% boost in revenue, which reached an impressive R3.9 billion.

Furthermore, the stock market’s positive financial results were mirrored, with ADvTECH’s share price surging by nearly 10% at one point, reaching an all-time high. This share price surge reflects the market’s confidence in the company’s performance and indicates strong investor interest in ADvTECH’s growth prospects.

To underscore ADvTECH’s dedication to its shareholders, the company announced an interim dividend of 30 cents per share, marking a substantial increase compared to the 23 cents per share dividend declared in the same period of the previous year. ADvTECH’s CEO, Roy Douglas, emphasized the importance of student enrollment as a critical metric for evaluating the company’s value proposition.


HP Inc., a prominent technology company, recently reported financial results reflecting a complex market landscape characterized by challenges and improvements. The company’s third fiscal quarter, concluding on July 31, 2023, presented a diverse performance influenced by a range of factors affecting its core business segments.

HP reported total revenue of $13.2 billion for the quarter, marking a 9.9% decline compared to the same period in the previous year. A notable contributing factor to this mixed performance is the weakening demand for printers, a traditionally strong segment for the company. Additionally, HP encountered softer-than-expected prices for personal computers, which further influenced its financial results. HP’s Personal Systems Group, responsible for the company’s PC business, reported quarterly revenue of $8.9 billion. This figure represents an 11% decline from the previous year but was slightly above the Street consensus, which had anticipated revenue at $8.7 billion. In the Printing group, revenue was reported at $4.3 billion, down 7% from the same period in the prior year and falling short of the Street consensus, which had projected revenue at $4.7 billion.

CEO Enrique Lores pointed to a slowdown in corporate hiring and other factors as drivers for the reduced demand for enterprise PCs. Despite these challenges, HP’s CEO expressed optimism about the company’s overall performance in a challenging market. He noted improvements in various areas, including sequential earnings per share (EPS) growth, operating profit, and free cash flow.

Sources: iOL; BusinessLive; Moneyweb; Reuters; YahooFinance; Barron’s

Disclaimer: Trive South Africa (Pty) Ltd, Registration number 2005/011130/07, and an Authorised Financial Services Provider in terms of the Financial Advisory and Intermediary Services Act 2002 (FSP No. 27231). Any analysis/data/opinion contained herein are for informational purposes only and should not be considered advice or a recommendation to invest in any security. The content herein was created using proprietary strategies based on parameters that may include price, time, economic events, liquidity, risk, and macro and cyclical analysis. Securities involve a degree of risk and are volatile instruments. Market and economic conditions are subject to sudden change, which may have a material impact on the outcome of financial instruments and may not be suitable for all investors. When trading or investing in securities or alternative products, the value of the product can increase or decrease meaning your investment can increase or decrease in value. Past performance is not an indication of future performance. Trive South Africa (Pty) Ltd, and its employees assume no liability for any loss or damage (direct, indirect, consequential, or inconsequential) that may be suffered fro