Investors may start hearing more about “implied earnings growth.” It is a metric that can help people make investment decisions, and it is especially relevant during times of market tumult when stocks frequently get mispriced. Whenever analysts value securities, they make assumptions about the growth of the company. Faster-growing firms generally warrant higher valuations than those likely to see only modest profit increases, other things being equal.... … [Read more...] about What Is Implied Earnings Growth?
Whats earnings growth
"People may think it's the geopolitical risk that's driving volatility at the moment but I think it's actually more earnings and just an uncertainty about what coming to the end of a very strong earnings cycle means for markets," she said. "The events themselves may be the catalyst for the volatility but the reason why the markets are responding with these big moves is because of the earnings." Investors should go back to investment fundamentals in times of heightened volatility, she said. "[Look at] the company fundamentals, don't overpay for growth and make sure you understand what volatility exposures you have in your portfolio," she said. "But don't overpay for that safety." Quantitative strategy Ms Engel's strategy is about looking at as many companies in as many different markets as possible in order to find strong high-level characteristics. "Quantitative investing is you really just trying to get an objective way of comparing many companies over as wide a universe as possible," … [Read more...] about State Street’s Olivia Engel sees higher volatility in 2019 as earnings growth slows
NEW YORK — Here’s the challenge when something’s as good as it gets: What comes next? Companies across industries are in the midst of reporting another quarter of gargantuan profit growth, driven by lower tax bills and a growing economy. Amazon said its net income surged more than tenfold during the summer from a year earlier, for example. Yet stock prices are not getting the boost that they usually do when companies report better-than-expected earnings. On the flip side, investors have punished stocks much more severely when companies have fallen short of profit expectations. Altogether the S&P 500 is still down about 4 percent since the start of October. That’s despite the index being on track to deliver roughly 25 percent growth in earnings per share for the third straight quarter. As of Wednesday, more than four-fifths of companies in the index have reported results. The reaction can be tied to the gnawing concern among investors that this may be the … [Read more...] about Investors wonder if earnings growth is as good as it’ll get
By Peter Egwuatu Nigeria’s leading companies quoted on the Nigerian Stock Exchange, NSE, have dented the picture of a recovering economy as painted by several macroeconomic performance indicators released by key financial and economy authorities. While the National Bureau of Statistics, NBS, have consistently reported steady reversal of recessionary numbers since second half of 2017, with the Central Bank of Nigeria, CBN’s Purchasing Managers’ Index , PMI indicating expansions in the level of economic activities across sectors month-on-month since last year, corporate performance in the first half, H1’18, have shown a significant push-back with gross earnings growing by mere 9.4 percent as against 20.3 percent recorded in the corresponding period of 2017, and profitability rising sluggishly by 15.8 percent as against 60.6 percent recorded in the corresponding period of 2017. The companies’ gross earnings also underperformed the country’s … [Read more...] about Corporate earnings growth rate slows down, dents economic recovery reports
NEW YORK, Aug. 10, 2018 (GLOBE NEWSWIRE) -- In new independent research reports released early this morning, Fundamental Markets released its latest key findings for all current investors, traders, and shareholders of Apptio Inc. (NASDAQ:APTI), RPC, Inc. (NYSE:RES), Kansas City Southern (NYSE:KSU), MasTec, Inc. (NYSE:MTZ), Commercial Metals Company (NYSE:CMC), and Oceaneering International, Inc. (NYSE:OII), including updated fundamental summaries, consolidated fiscal reporting, and fully-qualified certified analyst research. /EIN News/ -- Complimentary Access: Research Reports Full copies of recently published reports are available to readers at the links below. APTI DOWNLOAD: http://Fundamental-Markets.com/register/?so=APTI http://Fundamental-Markets.com/register/?so=RES http://Fundamental-Markets.com/register/?so=KSU http://Fundamental-Markets.com/register/?so=MTZ http://Fundamental-Markets.com/register/?so=CMC http://Fundamental-Markets.com/register/?so=OII (You may have to … [Read more...] about Detailed Research: Economic Perspectives on Apptio, RPC, Kansas City Southern, MasTec, Commercial Metals, and Oceaneering International — What Drives Growth in Today’s Competitive Landscape