Takeaways
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The Q4 reporting period is largely in the books, and results were strong
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New macro challenges have emerged that could disrupt bullish trends
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Apple, Deere, and Qualcomm host shareholder meetings in the next five weeks that may shed light on market-wide risks
Earnings season is winding down, and the spotlight will soon shift toward 2025 trends after an impressive end to last year. FactSet reports that the S&P 500®’s Q4 EPS growth rate is likely to verify above 15%, the best since Q4 2021.1 The lynchpin to 2024’s robust close was no doubt the consumer. Retail Sales from October through December were healthy despite fears that the holiday shopping season might not live up to the previous year’s numbers given one less weekend between Thanksgiving and Christmas, but such concerns have been alleviated.2
Also fueling fervor to finish the year were tremendous capex spending plans laid by many big-cap tech companies. Goldman Sachs noted that more than one-third of Russell 3000 firms mentioned “AI” on Q4 conference calls.3
Uncertainty Brewing
That’s all in the rearview mirror now. The road ahead feels, of course, less certain. Look no further than macro gauges such as the Economic Policy Uncertainty Index (there’s an index for everything these days); it’s at the loftiest level since the world was regaining its footing during the pandemic.4 Unknowns about what tariffs will actually come down the pike, deregulation hopes, deportation fears, and even government cuts due to DOGE are all wildcards.
CEOs of the world’s biggest corporations have their hands full navigating this macro regime. Executives must focus on the controllables, and Wall Street has generally rewarded companies that have effectively executed their strategies. Moreover, investors seem to be attracted to stocks that have been winning. According to WisdomTree, the momentum factor has been the best so-called “smart beta” theme over the past month, three months, six months, and 12 months. It’s a clean momentum sweep.5
What Exactly Happens at Shareholder Meetings?
This backdrop makes 1H24’s shareholder meeting season all the more important. Such events offer investors an opportunity to engage directly with companies they own. Critical matters are voiced, including the election of board members, approval of executive compensation, and ratification of financial decisions. Activists can wave a finger at leadership teams, give their two cents on strategies, and even influence a company's long-term trajectory.
Individual stockholders don’t have to be hostile to take advantage of shareholder meetings, though. The events are a window into a firm’s operational health, management accountability, and broad vision. Keeping tabs on what happens at key Annual General Meetings (AGMs) may help stockholders stay abreast of both macro and micro developments.
Apple’s Industry Bite
Our team normally peeks into the shareholder meeting calendar once spring has sprung, but we’re looking closely at it now, thanks to Apple (AAPL). The world’s most valuable publicly traded company hosts its 2025 Annual Meeting of Shareholders tomorrow, Tuesday, February 25 at 11 a.m. ET in a virtual format.6 With Q2 2025 earnings not due out until Thursday, May 1 (AMC, unconfirmed), this will be one of the few chances for stakeholders to interact with management before then. Furthermore, while tech-sector peers like NVIDIA (NVDA) are slated to present at many corporate conferences in March, we do not show any confirmed engagements from Tim Cook or other Apple execs in the weeks ahead.
Apple’s February shareholder meeting could be a bellwether for future AGMs. There may be questions and concerns about the additional 10% tariffs levied on imports from China.7 Higher import duties might ding the company’s current-quarter EPS, or the iPhone maker may have to raise prices. Like many multinationals, the decision to eat the tariff or pass it on to consumers is top of mind. Any commentary from Apple’s leadership tomorrow could sway other firms’ choices.
The $3.7 trillion market cap I.T. sector company arguably acts like a Consumer Staples blue chip given how its customers treat iPhones, Macs, and iPads. And it's those goods that face potential tariff risk; while services sales may be less impacted. It's also clear that Apple is cognizant of pricing today—just last week it unveiled a “more affordable” iPhone 16e, priced as low as $599.8 But will households go for it?
Aside from tariffs, AI remains front and center—Apple reportedly partnered with Alibaba (BABA) as it forges ahead with AI technology development.9 For now, implied volatility is under 20% on AAPL, so while the virtual room could be filled with drama, the stock is not expected to move much.10
Deere & Qualcomm: Industrial and Semiconductor Updates
Two other shareholder meetings to keep on your calendar include those from John Deere (DE) and Qualcomm (QCOM). The former takes place on Wednesday morning (February 26) at 11 a.m. ET while the latter is set for Tuesday, March 27. We plucked these events because they offer different views on the global economy.
DE stumbled after it reported Q1 results earlier this month, but the Industrials stock is up 37% in the past six months, which may come as a surprise. Undoubtedly a part of the momentum trade right now, the management team noted demand uncertainty on its earnings call. It forecasts a 15-20% decline in large agricultural equipment sales this year and risks around currency swings and macro unease.11 Questions from shareholders and any new strategy rollouts may offer insights into the state of the cyclical slice of the global economy.
Qualcomm’s event comes a month later. Ahead of its shareholder meeting, QCOM hangs right below the top end of its trading range since last summer. Chip stocks writ large haven’t done much collectively since June-July 2024 (see: NVDA). Just recently, QCOM wobbled, but ultimately continued trending higher, after news last week that Apple would use an in-house modem without using Qualcomm chips.12 Stockholders could learn more about the company’s relationship with Apple at the gathering in late March.
The Bottom Line
Shareholder meetings are crucial for investors to pick up on executives’ corporate body language, particularly between earnings seasons. They are part of the corporate governance construct, offering opportunities for engagement, transparency, and even value creation as macro challenges evolve.
1 Earnings Insight, FactSet, John Butters, February 14, 2025, https://advantage.factset.com
2 U.S. Retail Sales, Trading Economics, February 20, 2025, https://tradingeconomics.com
3 35% of Management Teams Mentioned AI on Q4 Earnings Calls, GS dataworks, Goldman Sachs Global Investment Research, February 17, 2025, https://x.com
4 Economic Policy Uncertainty Index, Economic Policy Uncertainty, February 20, 2025, https://www.policyuncertainty.com/
5 Daily Market Snapshot - Wednesday, February 19, WisdomTree, February 19 2025, https://www.wisdomtree.com
6 Annual Meeting of Shareholders, Apple, February 20, 2025, https://central.virtualshareholdermeeting.com
7 Fast fashion, laptops and toys are likely to cost more due to US tariffs on Chinese imports, AP News, Haleluya Hadero, February 5, 2025, https://apnews.com
8 Apple debuts iPhone 16e: A powerful new member of the iPhone 16 family, Apple Inc., February 19, 2025, https://www.apple.com
9 Apple teams up with Alibaba to bring AI features for iPhones in China, The Information reports, Reuters, February 11, 2025, https://www.reuters.com
10 AAPL, ORATS, February 20, 2025, https://dashboard.orats.com
11 Q1 2025 Earnings Call, Deere & Co., February 13, 2025, https://s22.q4cdn.com
12 Apple reveals first custom modem chip, shifting away from Qualcomm, Reuters, Stephen Nellis, February 19, 2025, https://www.reuters.com
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