5 earnings reports to watch this week as AI capex faces test

Earnings season reaches a peak the week of July 27, with roughly 751 companies reporting Q2 results and five names offering the clearest window into whether AI infrastructure spending can sustain its momentum.

"The hyperscalers, for some time, we've been out of them because that's a concern," Ken Mahoney, CEO of Mahoney Asset Management, said. "Investors are really scared that these companies are spending all their cash flow on all this AI and data centers."

Celestica reports post-market on July 27 after raising FY2026 revenue guidance to $19 billion from $17 billion and adjusted EPS to $10.15 from $8.75. Q1 revenue jumped 52.8% year-over-year to $4.05 billion, with the CCS segment up 76% and Hardware Platform Solutions up 63%. Shares have gained 98% over one year, though three customers represent 36%, 15% and 12% of revenue respectively.

Applied Digital reports the same day with consensus estimates at a loss of $0.20 per share. Fiscal Q3 delivered revenue of $126.64 million, up 139.3% year-over-year, and a 142.86% EPS beat. The company targets $1 billion in NOI within five years against a 600 MW contracted pipeline representing roughly $16 billion in prospective lease revenue. Shares fell 34% in the past month, and the balance sheet shows $2.7 billion in debt against $2.1 billion in cash.

Navitas Semiconductor also reports post-market on July 27. Q1 revenue of $8.6 million was down 38.7% year-over-year as management wound down mobile and consumer segments to focus on AI, grid and industrial markets with a $3.5 billion SAM by 2030. Q2 guidance sits at $10 million plus or minus $0.5 million, roughly 16% sequential growth. Shares are up 68% year-to-date but down 44% in the past month.

Baker Hughes reports post-market on July 26 with eight consecutive EPS beats. Q1 delivered a 17.5% EPS beat, and the IET segment posted $4.89 billion in record orders with a $33.1 billion backlog. WTI crude at $84.38, up 6.5% on the week, supports the upstream capex thesis. Shares are up 24% year-to-date.

AstraZeneca reports pre-market on July 27 with a consensus estimate of $2.50 per share. The $261 billion pharma giant is down 6.6% year-to-date despite Q1 revenue of $15.29 billion, up 13% year-over-year, and oncology revenue of $6.8 billion, up 20%. Investors will watch for commentary on Enhertu, which delivered $831 million last quarter, up 40%.

The core question this week is whether the AI capex cycle keeps compounding or whether early cracks show expectations have outrun deliverable results. With APLD and NVTS both down sharply in the past month and Alphabet's results last week disappointing despite solid revenue, the guidance commentary from Celestica, Applied Digital and Navitas will matter more than headline numbers. The Fed's rate decision on July 29 adds another layer of uncertainty to the macro backdrop.

This article is for informational purposes only and does not constitute investment advice.