Tag: earnings calls

Weak Earnings & Buybacks

Weak Earnings & Buybacks

Get ready for an uptick in share repurchase plan announcements. This earnings season as Technology companies issue weak guidance you can be sure that many of those companies will announce new share repurchase agreements to support stock prices. Share repurchase agreements are a waste of capital in my view. CEOs should invest in their businesses … Continue reading Weak Earnings & Buybacks

Microsoft Made Our Case For Us

Microsoft Made Our Case For Us

Tonight after the close Microsoft (MSFT) made our case for us, specifically that the uncertain macro environment is causing corporate buyers to take a cautious approach to spending. We told you that management teams would feature the word "cautious" during the December '22 earnings calls and Microsoft CEO Satya Nadella did just that in the … Continue reading Microsoft Made Our Case For Us

Q4’22 EPS Call Buzzword: “Cautious”

Q4’22 EPS Call Buzzword: “Cautious”

Get ready to hear the word "cautious" repeated ad nauseam on forthcoming Technology company EPS calls this month and next. Temenos (tkr: TEMN), is one such example. You may read the FinTech company's Q4 press release here: https://www.temenos.com/news/2023/01/16/temenos-pre-announces-preliminary-q4-and-fy-2022-results-bxf9181m/ Temenos also announced a CEO change. I expect to see more CEO changes than normal in 2023. … Continue reading Q4’22 EPS Call Buzzword: “Cautious”

Equities Over The Next 2-3 Months

Equities Over The Next 2-3 Months

Back to the office, equities will sell off. We expect that equities will trade off when investors return to the office in January in anticipation of soft earnings. Technology stocks will be hit the hardest. Another leg down on EPS reports. When earnings are reported in January and early February, there will be another leg … Continue reading Equities Over The Next 2-3 Months

Markets Have Another Leg Down

Markets Have Another Leg Down

This spring when I said the NASDAQ would bottom around 9,000 my thinking was as follows: 2022 would be a year where higher interest rates reset equity valuations lower, especially as it relates to the NASDAQ Composite. 2023 would be a year where poor company fundamentals reset equity valuations lower. The NASDAQ has experienced some … Continue reading Markets Have Another Leg Down

Get Ready for EPS Misses

Get Ready for EPS Misses

One thing that's for sure is that many companies are hesitant to get in front of bad news. Given that inflation in all forms is not going anywhere, we expect many companies to report Revenue and Earnings shortfalls in April as March quarter results and 2022 full year outlooks are communicated to investors. Inflation has … Continue reading Get Ready for EPS Misses

Earnings Calls – A Keyword Analysis

Earnings Calls – A Keyword Analysis

We ran a Natural Language Processing ("NLP")-based analysis of earnings calls from this week. We captured keywords and phrases from 23 earnings calls. Our report is sorted alphabetically by ticker symbol. Access the free report HERE. This analysis may be customized to capture certain keywords and phrases for any text-based document. https://soundcloud.com/ceorater

Tech Layoffs & The Mythical “V” Recovery

Tech Layoffs & The Mythical “V” Recovery

Headcount reductions continue. We have updated our list of recent Tech company layoffs. Access the Excel version HERE. The PDF version may be accessed HERE. It is difficult to imagine a snap economic recovery as companies continue to shed talented people. The mythical "V" recovery would require all components of the global economy to recover … Continue reading Tech Layoffs & The Mythical “V” Recovery

Earnings Summary: A Rational Approach To “Guidance”

Earnings Summary: A Rational Approach To “Guidance”

We were recently critical of companies that decided to completely withdraw their financial outlook given the economic uncertainty that has resulted from the ongoing COVID virus. The good news is that a number of companies are providing financial outlooks, albeit they are taking a conservative approach (which is entirely logical from our perspective). We reviewed … Continue reading Earnings Summary: A Rational Approach To “Guidance”

Earnings Season Thus Far: Lack of Color & Backbone

Earnings Season Thus Far: Lack of Color & Backbone

Earnings calls thus far have struck a similar tone XYZ CEO: "Let me begin by saying our thoughts are with..."XYZ CEO: "We are grateful for the opportunity to delight our customers during this difficult time. We got off to a good start in the months of January and February as we experienced healthy year-over-year growth. … Continue reading Earnings Season Thus Far: Lack of Color & Backbone