Misses aside, we're seeing some boffo earnings
Look past the disappointments to find the value this season.
There's more good than bad in these earnings numbers.
Sure, IBM (IBM) was abysmal. Goldman Sachs (GS) didn't have enough fixed-income trading to make the numbers. EBay (EBAY) disappointed, as did Xilinx (XLNX) and UnitedHealth (UNH). But let's go underneath. Let's look at the big hits, not just the misses.
I think you will find many more good than bad, including this morning's reports from General Electric (GE), which had been a real laggard, and Schlumberger (SLB), a perpetual star. These two companies gave you exceptional global order growth and look clean.
Consider the other contrasts. You may be worried about tech from IBM and Xilinx. But consider Google (GOOG). This gigantic Internet search company has been stalled for the past six months, contributing little to the Nasdaq's historic run. It seemed like Google was just one more company that misjudged the speed with which people went mobile and didn't have the right ad tools to capitalize off of it. Now it seems that the company does have both the ad campaigns and the accelerated viewership, particularly on YouTube, that can be monetized, so there is a healthy and needed revaluation going on. Very clean quarter. Truly offsets whatever IBM has to say.
Then how about the opposites to Goldman Sachs? JPMorgan Chase (JPM), ex-litigation, gave us a terrific number, much better than Goldman's. American Express (AXP) was stupendous, frankly, calling into question the whole negative rap about the consumers eBay offered. I thought Wells Fargo (WFC) wasn't perfect, but the market ate it up. Capital One (COF) shot the lights out. They all trump Goldman.
Coca-Cola (KO) wasn't that much to write home about, but the market didn't mind and it loved Pepsico's (PEP) quarter. Sure, Xilinx was a bummer, but Intel (INTC), a much bigger company, delivered what the market wanted or it wouldn't be on the verge of breaking out.
Last night Chipotle (CMG) came through with numbers that had the stock vaulting nearly 8 percent premarket. Chipotle's been flying high of late, which worried me that somehow it would disappoint. But the same-store sales numbers came through very strong and the growth prospects, including new concepts like Chop House and new foods like Sofritas, the vegan dish, are just now beginning to roar.
I know there are numbers that show that we have had the most downside surprises in years, so far. But I think you need to look at three things to determine a downside surprise:
- Did the top line miss?
- Did the bottom line miss?
- Did the stock do nothing or go up anyway?
If you use that prism, I say so far, so very good.
Not a great run for the bears, even as I think they have already qualified the earnings season as a losing one.
Action Alerts PLUS, which Cramer co-manages as a charitable trust, is long WFC, JPM, JNJ and XLNX.
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I'm going to share something with you folks that I believe...... you may not but here it is anyway.
Don't do something for someone that they can do for themselves. They end up resenting it in the end. I learned this the hard way in my life and I think it applies to these bloated safety net programs.
This does not mean you can't take your wife out and buy her dinner..... so don't go spinning it. JMHO
A new federal program is giving Florida’s public schools a way out of verifying whether students qualify for free or reduced-price lunches.
The solution: expand subsidized meals to include all students whether they can afford to pay or not.
Known as the Community Eligibility Option, schools and even entire districts can now receive free breakfast and lunch if 40 percent or more of students’ families are identified as low-income.
That includes 83 Duval County schools, 58 schools in Pinellas County and 48 schools in Polk County — to name three of Florida’s 67 eligible counties.
Students whose families receive food stamps, cash assistance or are Head Start eligible automatically count towards a school’s qualifying percentage.
While it’s unpopular for public officials to oppose programs that purport to help needy children, some experts say there is more to CEO than meets the eye.
Joy Pullman, an education senior fellow at the free-market Heartland Institute, told Florida Watchdog, “The Congressional Budget Office estimated this program would cost taxpayers an extra $11 billion for just the first 11 states that participate.”
“Federal school lunch programs also encourage families to think they don’t need to be responsible for feeding their own children,” Pullmann said. “But, more practically, when the feds subsidize something, they get to define all the parameters.”
CEO was established under the Healthy, Hungry Free Kids Act of 2010. Florida became eligible this year, and the program will become a nationwide option in the 2014-15 school year.
Google's not technology they're consumer advertising and spam giving away shareware.
doesn't it go hand in hand that stocks have been going up for several years so therefore the detail companies also have some nice earnings?
Restaurant stocks that go up 12.5% on news, man we must be in Recovery and beyond...
Or people have forgotten how to cook...
GE is making a decent run this morning, even with so-so numbers....Go GE.
And Google who would have thunk it...?
Market manipulation....Actually, I thought that is the only way you could make money on Wall St..?
Buy and sell...
Buy low, sell high..
Buy good dividend paying, appreciating Companies with reasonable growth factors.
This stuff isn't "rocket science" the answers and charts are everywhere..
Pretty simple stuff really...
Dont waste it. Get the heck out of the house.... take that walk.....
do some gardening...... talk to the neighbors.... make a donation to your own life.
And remember to 'stay long' and hold to your individual investing course.
- At least until Monday. Cheerio all. ~
Rome....I wrote something about Inst. Traders, Analysts, pumping and dumping and guys like me..
It wouldn't post, I finally gave up.....MSN doesn't really like talking about investing on here.
So it's better to worry about enjoying life then waste a lot of time with useless bs...
Besides that, I think Miss Lilly wants to boink me...
So I'm going to get off here...I've already taken an aspirin for my heart...
The problem I see Vince, is this....
Lately MSN has just been shooting a lot of Articles out the door, maybe for "shock and awe".
They have also posted a few with political undertones lately..Really gets the natives wound up..
Why bother with "good substance" articles about investing or financial matters...;
From people like Jubak, Blaine, Mirhardari(s), Brush, Fleck and a few others, when you can get tripe about Wally World, Mickey D's, Yahoo, Google,Facebook and others.
Where 95% of posters or commenters turn it into a bitch and whining column about service or return policies...
And other well written Articles become nothing but a Political blog about someone's agenda or complaints about 2-3 Presidents or Congressional Leaders...And then the racial bullshidt that's prevalent on here...
I see this very little on other Blog sites, when discussing the actual values and investing validity of a Company or it's Stock....We discuss the stock and ideas, pro and cons.
(the bullshidt is shouted down, and they are treated as morons, with nothing of value to offer)
VERY FEW DO THAT HERE...
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The company has made at least 4 acquisitions in the space, and few people have paid any attention.
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