Category Archives: Earnings

How Sustainable Is Earnings Growth?

Not very. We will leave the calculation for the entire stock market to the stock analysts. Here’s why: Just glancing over WalMart’s latest earnings release from the week, we see two one-off macro factors that helped WalMart’s earnings in Q1, … Continue reading

Posted in Dollar, Earnings, Uncategorized | Tagged , , | 33 Comments

Employment Data In Charts: Markets All Lathered Up

The punk employment data makes us think the economy is running out of labor.   Very similar to the dynamics in the housing market. The markets are lathered up about the annual moderate average hourly earnings growth of 2.6 percent.  The … Continue reading

Posted in Earnings, Employment, Uncategorized | Tagged , , , | Leave a comment

Quality Of Earnings?

Rosie is a bear but a credible bear, and not a perma-bear. The financial engineering game ends when the government starts to play. Glushkin Sheff's Dave Rosenberg: nearly 2/3 of US corporate profit growth is due to tax cut and … Continue reading

Posted in Earnings, Uncategorized | Tagged , , | Leave a comment

Big Week For Earnings

Image | Posted on by | Tagged | Leave a comment

The Looming Donnybrook Between Cyclical & Structural

This next quarter is going to be a major battle between the cyclical bulls and structural bears. Cyclical Bulls The bulls have the strength of current earnings, which may, or may not be priced (probably the later as the market is … Continue reading

Posted in Earnings, Economics, Equities, Uncategorized | Tagged | 17 Comments

Ambiguity Of The Dow’s Value: -3.3% GAAP v 10.5% non-GAAP 2017 Earnings

One more example of the ambiguity of stock value  and why earnings are, or can be, the creature of  a company’s CFO.  This is exactly why we prefer top line metrics, such as sales and revenues.  See here for debate … Continue reading

Posted in Earnings, Equities, Uncategorized | Tagged , , | Leave a comment

Caterpillar Beats For All The Right Reasons

Caterpillar, a bellwether for the global economy,   beat on both the top and bottom line for all the right reasons (increase in sales and revenues) with their earnings release this morning.  The stock is up over 5 percent at … Continue reading

Posted in Earnings, Uncategorized | Tagged , , | 3 Comments

Six Charts of Christmas: Profits – FT

John Authers asks if US profits and profit margins are due to fall further in 2016. ► Subscribe to the Financial Times on YouTube: http://bit.ly/FTimeSubs (click here if charts are not observable)

Posted in Earnings, Uncategorized | Tagged , , , , | Leave a comment

Nike Beats

Nike beat estimates and is trading up 3.6 percent in the after hours session.  We picked up a small position thinking it should take out its high at $80.26 in the next few days. Here’s an interesting breakdown of sales … Continue reading

Posted in Earnings, Sports | Tagged , | Leave a comment

S&P500 Testing Key Support

Hard to to discern the cause of the increase in chop in U.S. equities.  Cyprus?  Overbought? Earnings worry?  Strong dollar’s impact on earnings (see Oracle’s release)? Here’s what we said on March 4th: No doubt the stronger dollar will be … Continue reading

Posted in Earnings, Equities | Tagged , , , | Leave a comment