Companies Reporting: Aston Martin, Nvidia, Salesforce

Our regular look at the FTSE 350 and other companies reporting from 24 – 28 February.

• Aston Martin hoping to drive a U-turn in fortunes.
• Nvidia has the weight of the AI industry on its shoulders.
• Salesforce banks on AI agents to drive its next round of growth.

Aston Martin Lagonda, Full Year Results, Wednesday 26 February

Aarin Chiekrie, equity analyst, Hargreaves Lansdown “There’s no getting around it, Aston Martin’s in a tough spot. 2024 brought with it a couple of profit warnings due to delays with its new high-end Valiant models. Now full-year underlying cash profits are set to land in the £270-280mn range, a backward step from the £306mn seen in the prior year.

Aston Martin also had to go cap in hand to debt and equity investors twice last year, seeking additional funds to help keep the wheels turning. But given that free cash flows are expected to remain in negative territory when full-year results are announced next week, it could spell real trouble if demand doesn’t improve soon. In the meantime, investors are hoping to hear the group has credible plans to get costs under control to help stem the financial bleeding.

To make matters worse, British car manufacturers could see President Trump impose a tariff of as high as 25% on British vehicles being imported to the US. This would likely hit Aston Martin LON:AML hard, so it’s a developing story that investors will be keeping a close eye on.”

• UK Stock Market News: Metro Bank, Aston Martin, Hammerson

Salesforce, Q4 Results, Wednesday 26 February

Matt Britzman, senior equity analyst, Hargreaves Lansdown “Salesforce NYSE:CRM comes into fourth-quarter earnings with some momentum after a poor start to the year. The tricky macroeconomic environment is one of the reasons for a slowdown in revenue growth, expected around the 8-9% mark for the year, compared to the mid-twenties seen a few years ago. Investors will be looking out for commentary on customers’ willingness to spend in the current environment, as well as looking to guidance for the new year.

Updates on the rollout of Agentforce will also be crucial. This is Salesforce’s latest product that enables customers to build AI agents that not only assist with answering questions but can also take action. The latest iteration, Agentforce 2.0, launched mid-way through December so markets are keen to hear whether it’s driving a material uptick in sales.”

NVIDIA, Full Year Results, Wednesday 26 February

Matt Britzman, senior equity analyst, Hargreaves Lansdown “Nvidia wraps up earnings season for the Magnificent 7 with fourth-quarter results next week, and all eyes will be on AI chip demand. Recent signals, including massive investment plans from the big tech giants, suggest Nvidia’s cutting-edge chips remain in hot demand. With Artificial Intelligence central to its growth story, the rollout of its latest Blackwell chips will take centre stage where supply constraints held things back a touch in the prior quarter.

Expected revenue growth of 72% highlights Nvidia’s impressive momentum, but margins will also be under the spotlight. Costs tied to Blackwell’s ramp-up could put some pressure on gross margins, with any dip below the guided 73.5% mark likely to ruffle a few feathers. Investors will also be keen to hear more about Nvidia’s push into robotics and self-driving, where CEO Jensen Huang sees a multi-trillion-dollar market emerging.”

• Don’t give up on NVIDIA yet, says fund manager
• What’s dragging down the NVIDIA share price this week?

This article has been brought to you in association with Hargreaves Lansdown. All opinions expressed in this article are from the analysts and do not necessarily represent the opinions of The Armchair Trader.

FTSE 100, FTSE 250 and selected other companies scheduled to report