{"id":4622,"date":"2016-08-02T13:20:14","date_gmt":"2016-08-02T13:20:14","guid":{"rendered":"http:\/\/www.thet3trader.com\/?p=4622"},"modified":"2016-08-02T13:20:14","modified_gmt":"2016-08-02T13:20:14","slug":"earnings-season-stinks-just-not-as-much-as-we-thought","status":"publish","type":"post","link":"https:\/\/blog.t3live.com\/2016\/08\/02\/earnings-season-stinks-just-not-as-much-as-we-thought\/","title":{"rendered":"Earnings Season Stinks&#8230; Just Not As Much As We Thought"},"content":{"rendered":"<p>We came into earnings season with remarkably low expectations.<\/p>\n<p>But it turns out things don't stink that much.<\/p>\n<p><span style=\"text-decoration: underline;\"><strong><a href=\"http:\/\/www.factset.com\/insight\/2016\/07\/earningsinsight_07.29.16#.V6CZLfkrJpg\">FactSet<\/a><\/strong><\/span> just updated their earnings season stats, and as of Friday, things stink &#8212; just not as much as they were expected to.<\/p>\n<p>At the end of Q2, traders expected a revenue decline of -0.8%.<\/p>\n<p>And as of last week, actual results have dragged that number up to +0.1%.<\/p>\n<p>57% of companies have beaten revenue forecasts, which is slightly above the 55% 5-year average.<\/p>\n<p>Consumer discretionary (namely <strong>AMZN)<\/strong>, Tech (think <strong>AAPL<\/strong>), Health Care, and Financials have been leading the way<\/p>\n<p>The earnings side is looking decent too.<\/p>\n<p>Q2 is showing a -3.7% earnings decline. Now that's pretty bad on its head, but at the end of Q2, analysts expected a -5.5% decline.<\/p>\n<p>The conclusion: once again, earnings season stinks&#8230; just not as much as we thought.<\/p>\n<p>And remember, these numbers don't reflect today's solid\u00a0earnings reports from <strong>Pfizer<\/strong> (PFE), <strong>CVS<\/strong> (CVS), and others.<\/p>\n<p>This is another reason the market's falling apart.<\/p>\n<p>Everyone's been bracing for disaster and we're clearly not getting it.<\/p>\n<p>And of course, <span style=\"text-decoration: underline;\"><strong><a href=\"http:\/\/www.thet3trader.com\/index.php\/2016\/08\/02\/the-morning-hammer-weak-oil-means-nothing-to-this-bull\/\">it helps that economic data has been generally decent.<\/a><\/strong><\/span><\/p>\n<p><em>Disclosure: Position in AAPL<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>We came into earnings season with remarkably low expectations. But it turns out things don&#8217;t stink that much. FactSet just updated their earnings season stats, and as of Friday, things stink &#8212; just not as much as they were expected to. At the end of Q2, traders expected a revenue decline of -0.8%. And as of last week, actual results have dragged that number up to +0.1%. 57% of companies have beaten revenue forecasts, which is slightly above the 55% 5-year average. Consumer discretionary (namely AMZN), Tech (think AAPL), Health Care, and Financials have been leading the way The earnings side is looking decent too. Q2 is showing a -3.7% earnings decline. Now that&#8217;s pretty bad on its head, but at the end of Q2, analysts expected a -5.5% decline. The conclusion: once again, earnings season stinks&#8230; just not as much as we thought. And remember, these numbers don&#8217;t reflect today&#8217;s solid\u00a0earnings reports from Pfizer (PFE), CVS (CVS), and others. This is another reason the market&#8217;s falling apart. Everyone&#8217;s been bracing for disaster and we&#8217;re clearly not getting it. And of course, it helps that economic data has been generally decent. Disclosure: Position in AAPL<\/p>\n","protected":false},"author":6,"featured_media":4097,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,1],"tags":[33,26,8],"class_list":["post-4622","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles","category-uncategorized","tag-earnings","tag-earnings-season","tag-stocks"],"_links":{"self":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/4622","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/comments?post=4622"}],"version-history":[{"count":0,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/posts\/4622\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media\/4097"}],"wp:attachment":[{"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/media?parent=4622"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/categories?post=4622"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.t3live.com\/wp-json\/wp\/v2\/tags?post=4622"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}