90 Day Treadmillers (Earning Season) Update – Again

90 Day Treadmiller's

As we mentioned in the Parting Thoughts section of our Q1 2012 Newsletter, we understand this information may not be as exciting and riveting to others as it is to us. Because of this fact we stretch the bands of humor to help keep your attention.

Our 90 Day treadmiller (we are open to name suggestions) represents the fast, but constant job managers must participate, to keep Wall Street happy while also developing longer term visions and strategies to grow their business.

Here are the results and expectations, so far from Reuter’s, but we dig a little deeper for reasons that will explain themselves shortly:

With 16% of S&P 500 members reporting earnings about 2/3rd of the members are beating estimates to the tune of a 1% growth rate (recall, the fourth quarter was a tough one for many.)

Growth Expectations for the Quarter are just over 23% (Wow, you may say, but let’s dig a bit deeper)

Top Expected Growth Sectors:

  • 892% —  Financials **
  • 13% — Energy
  • 11% — Industrials

Bottom Three Sector Expectations:

  • (22%) —  Telcom
  • (11%) — Materials
  • (3%) — Utilities

**Skewd Numbers:

Due to the bounce back in earning from the Financial Sector, the giant expected growth rate is greatly skewing the average growth for the S&P 500 this quarter. Without Financials the expected growth rate is a mere 1%, much more reflective of the latest quarter drabness.

As I finish this article in my usual spot at Starbucks early this am, what I thought was a glitch in the Wifi, was actually me losing the battle between the mouse and control.  If you happen to receive a raw unedited version of this article via email, we hope you enjoy our originality!! haha

Have a Great Day!

JK

FFTFF (Feel Free to Forward to a Friend)

214-706-4300

www.jkfinancialinc.com

Comments are closed.