So far only 28 (6%) of the S&P 500 companies have reported as earnings season kicks into high gear this coming week.... Read More
Q3 2018 earnings season is underway. Another big quarter is expected and presumably already priced in. Some of the unusual patterns due to corporate tax cuts are starting to wear off.... Read More
Q3 2018 earnings season is about to start. Another big quarter is expected and presumably already priced in. Some of the unusual patterns due to corporate tax cuts are starting to wear off.... Read More
Only 31 of the 406 (8%) S&P 500 earnings conference calls saw tariffs as an issue for their company. 240 companies did not even bring up the topic. 135 calls mentioned tariffs, but dismissed them as having no meaningful impact. The stock market seems unbothered by the trade wars, essentially at new highs.... Read More
Since the tax reform bill was signed in December, earnings have been booming. As the chart above shows, Wall Street sees this as more than a temporary bump as the long-term earnings growth outlook has now topped over 16%. Only the peak of the tech bubble in late 1999 saw higher expectations, and that did not hold. Earnings have never been able to sustain this high a growth rate before, and certainly not starting in year eight of a recovery.... Read More
Q2 2018 has proven to be another spectacular quarter for earnings, revenues and company guidance. Markets are forward-looking, so these results were probably discounted in the huge stock market rally into January 2018.... Read More
With over 80% of the S&P 500 reporting Q2 2018 earnings, the beat rate remains at a record 82%. ... Read More
The halfway point of Q2 2018 earnings season just passed and a record 85% of companies beat earnings expectations so far. Factset's review of the 159 earnings conference call transcripts through July 25 points to low levels of concern over tariffs. Only 19 (12%) saw "at least" a modest impact from tariffs and 17 worried about the future impact of tariffs. Roughly 83% of earnings conference calls either saw no reason to mention tariffs or mentioned them and concluded they are having no effect on earnings.... Read More
Profit declines typically proceed a recession, except when driven by a collapse in crude oil. ... Read More
88% of companies beat earnings expectations so far this quarter. Don't expect that to be enough to propel stocks higher on its own.... Read More
Through Friday 87 of the S&P 500 companies have reported Q2 2018 results. Earnings and revenue estimates are still strong and guidance is near all-time highs.... Read More
A look at Q2 earnings and revenues estimates as companies begin reporting... Read More
Q2 1018 earnings season gets underway this week. Earnings growth expectations are above 20% for the second time since 2010, while revenue expectations are their highest since 2011. Guidance is its most positive in about 20 years. With expectations so high, merely good results could be seen as a disappointment.... Read More
Buffett and Dimon are asking companies to stop offering guidance at the exact time when companies have the most positive news to share.... Read More
Rarely, if ever, have we seen better earnings results, forecasts and guidance. Despite this, stocks have struggled to stay in positive return territory this year. Simply put, these earnings results were already priced into the market.... Read More
One would be hard-pressed to find a better stretch of earnings, revenue and guidance data than we have seen in the last few quarters. However, stocks are not moving higher on these releases. In fact, two of the last four quarters saw stocks uncharacteristically decline on the release of good news. ... Read More
Now that over 90% of companies have reported first quarter earnings, we offer a look at the state of corporate earnings.... Read More
An update on earnings season now that over 80% of companies have reported... Read More
Many believe this quarter's earnings results have already been priced into the markets, pointing to the rally late last year into early January. We would not disagree. The market's inability to continue rallying in the wake of these earnings results is a worrisome sign.... Read More
Only 16% (87) of S&P 500 companies have reported Q1 earnings so far. This coming week another 40% (200) will announce their quarterly results. So far the numbers are looking good, but this week's releases will provide a much better picture of the overall earnings season.... Read More