Earnings Weekly Outlook: Salesforce, Broadcom, Berkeley Group

Salesforce Q2 earnings preview

Salesforce is scheduled to report Q2 earnings after the close on September 3rd, with analysts expecting revenue of $10.14 billion, representing an 8.7% year-over-year increase. EPS is expected to rise almost 23% to $1.80.

Earnings come as Salesforce underperforms the S&P 500, trading down some 23% year to date. The customer relationship management giant has been touting the impact of its new autonomous AI agent for business customers since its launch in October last year; however, the firm is struggling with concerns about slowing growth. Investors will be looking for a viable plan for revitalising growth, which is averaging 17% a year. The current forecasts for the firm's second quarter imply just 9% top-line growth.

Wall Street analysts remain supportive, with 43 of the 54 covering stocks applying a buy rating.

The share price fell after the company beat Q1 estimates and raised annual guidance, highlighting the challenges CRM faces to please investors.

How to trade CRM earnings?

Salesforce's share price trades below its multi-month falling trendline, its 50, 100, and 200 SMA. The price recovered from the 225 and is testing the falling trendline resistance and 50 SMA at 260. The RSI is above 50.

Buyers will need to rise above this level to negate the near-term selloff. A rise above 270 creates a higher high.

Sellers need to break below 230 to create a lower low and extend losses towards 210, the 2024 low.

Broadcom Q3 earnings preview

Broadcom will release Q3 results on September 4th. The results come as the chipmaker hit a fresh high of 312.83 dollars per share earlier this month, and the stock continues to trade near its all-time high, up 33% this year alone and 97% over the past year, amid booming demand for its AI-focused chips and networking gear. Wall Street remains bullish, buoyed by growing demand from hyperscalers and recurring customers.

Expectations are for EPS of $1.66 in Q3, up from $1.24 in the same quarter last year. Revenue is expected to be $15.83 billion, a 21% increase year over year. Attention will be focused on AI chip demand from major cloud customers, updates on the VMware deal, and guidance for the remainder of the year.

The firm posted strong Q2 results, with EPS of $0.58 and adjusted revenue of $15 billion for the quarter, up 20% from the same quarter last year.

How to trade AVGO earnings?

Broadcom trades within a rising channel dating back to April. The price reached an all-time high of 317 before easing back and trades at the lower band of the rising channel. The RSI divergence suggests that a reversal could be on the cards.

Sellers will look to break below the lower band of the rising channel at 300. A break below here opens the door to 281, the August low, and below that, 236, the February high, comes into focus, negating the medium-term uptrend.

Should support hold buyers could look to rise back up towards 317 and to fresh record highs.

Berkeley Group trading update

 UK housebuilder Berkeley will update the market on Friday, September 5th, whilst trading down over 7% year to date, underperforming the FTSE 100.

Berkeley Group, along with sector peers, has been under pressure as interest rates remain elevated and affordability is strained.

The BoE cut rates in August by 25 basis points but are not expected to cut rates again until early next year in light of sticky inflation. UK CPI rose to 3.8% YoY and is expected to rise further to 4% annually in September.

Furthermore, there are concerns over measures that Chancellor Rachel Reeves could announce in the Autumn Budget. That said, the jobs market is showing some resilience and wage growth is solid, which, although inflationary, does support confidence.

In its final full-year results published in June, Berkeley Group reported pre-tax profits of £528.9 million, down 5% from the previous year. However, CEO Rob Perrins stated that, with 75% of sales secured for the coming year, Berkeley Group was well-positioned to deliver on its pre-tax profit guidance of £450 million for the fiscal year 2026.

How to trade BKG trading update?

Berkeley Group share price fell from its 2024 high of 5130 to a low of 3440 in January 2025. Its recovery failed to rise above the 100 SMA at 4250 and rebounded lower once again.  The 50 SMA is crossing below the 200 SMA in a death cross bearish signal.

Sellers will look to break support at 3500 support zone to create a lower low. Should the support hold, buyers will look to rise above 4000, the 200 SMA, and the falling trendline support. A rise above the 100 SMA at 4250 creates a higher high.