RPM International, Cal-Maine Foods, and 3 Stocks to Watch Heading Into Tuesday
Tuesday, Jan 7, 2025 6:22 am ET
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As the market gears up for another week of trading, investors are keeping a close eye on several stocks that could make significant moves. Among them are RPM International (RPM), Cal-Maine Foods (CALM), and three other stocks that analysts believe are worth watching. Let's dive into the details and explore the factors driving their potential performance.
RPM International (RPM) reported record financial results for its fiscal 2025 first quarter, with net income of $227.7 million, diluted EPS of $1.77, and record EBIT of $303.9 million. The company's strong performance was driven by its MAP 2025 operational improvement initiatives, plant consolidations, and SG&A streamlining. RPM's Construction Products and Performance Coatings groups both generated organic growth, contributing to the record adjusted EBIT for the 11th consecutive quarter. The company's focus on cost management and working capital improvements also sustained strong cash flow generation.

Cal-Maine Foods (CALM) announced its second-quarter fiscal 2025 financial results on Tuesday, January 7, 2025. The company reported a 70% quarterly sales gain, driven by higher egg prices and strategic acquisitions. Despite the impact of Highly Pathogenic Avian Influenza (HPAI) outbreaks on production, Cal-Maine Foods maintained profitability and saw a significant increase in its income before income taxes. The company's focus on specialty eggs, such as cage-free, organic, and free-range options, has allowed it to capitalize on growing consumer demand for these products. Additionally, Cal-Maine Foods' acquisitions, such as the purchase of the Egg-Land's Best brand, have expanded its market reach and strengthened its position in the industry.
Zoom Video Communications (ZM) posted better-than-expected results for its third quarter, with revenue of $1.18 billion and adjusted earnings of $1.38 per share, beating analyst estimates. Despite the positive results, Zoom's stock price fell 5.6% to $84.09 in after-hours trading. This could be attributed to investors taking profits after a significant run-up in the stock price or concerns about future growth prospects. Looking ahead, investors should consider Zoom's ability to maintain its growth momentum, especially as competition in the video conferencing space intensifies. Additionally, Zoom's ability to diversify its revenue streams and expand its customer base will be crucial for long-term success.
HP Inc. (HPQ) is expected to report quarterly earnings of 93 cents per share on revenue of $13.99 billion after the markets close. Analysts expect the company to beat earnings estimates, with the consensus estimate for earnings per share being $1.31. The primary drivers behind the expected earnings growth for HP Inc. are likely to be its strong portfolio of printers, personal computers, and other hardware products, along with its services and software offerings. The company's focus on innovation and its ability to adapt to changing market trends are also likely to contribute to its earnings growth.
Dell Technologies Inc. (DELL) is expected to report quarterly earnings of $2.05 per share on revenue of $24.65 billion after the closing bell. Analysts expect the company to meet earnings estimates, with the consensus estimate for earnings per share being $2.05. The primary drivers behind the expected earnings growth for Dell Technologies Inc. are likely to be its broad range of products and services, including personal computers, servers, storage, and networking solutions. The company's strategic acquisitions and its focus on emerging technologies, such as artificial intelligence and the Internet of Things, are also likely to contribute to its earnings growth.
In conclusion, RPM International, Cal-Maine Foods, and the three other stocks mentioned in this article are worth keeping an eye on as the market heads into Tuesday. Their strong financial performance, strategic initiatives, and growth prospects make them attractive options for investors looking to capitalize on potential opportunities in the market. As always, it is essential to conduct thorough research and consider your risk tolerance before making any investment decisions.