Corporate Earnings

Minimize Risk Without Sacrificing Returns? Sven Tells You How

By dissecting the S&P 500 per valuation quintiles we see that only parts of the market are overvalued. Historically, buying the lowest PE quintile stocks has increased annual returns by 360 basis points. High PE stocks have large market capitalizations which force you to own more of them through index funds, increasing your risks and… Read More »Minimize Risk Without Sacrificing Returns? Sven Tells You How

Signs of Fragility in the Economy Point to an Impending Bear Market. What To Do Now To Protect Yourself.

The last jobs report was good news but it also indicates higher costs and full employment. An “easy to hire, easy to fire” mentality is in the air. Healthcare, cash or short term trades should be the best options in this situation. Introduction Last week the Nasdaq and S&P 500 reached yet another record high.… Read More »Signs of Fragility in the Economy Point to an Impending Bear Market. What To Do Now To Protect Yourself.

Corporate Earnings of the S&P 500’s Top 10: Why It Is Important for You

Corporate earnings and fundamentals are variable, pick the stocks that best suit you. There are low PE ratio stocks, high growth stocks, and high dividend yielders – anything you might want. But be aware: some companies engage in buybacks that are detrimental to shareholders’ value. Introduction When you add up the top ten companies by… Read More »Corporate Earnings of the S&P 500’s Top 10: Why It Is Important for You

As The S&P 500 Reaches New Highs, Asset Inflation Continues

All factors are indicating an artificially created asset inflation. Earnings are expected to decline with economic outlook being constantly revised downwards. Gold is gaining alongside stocks which confirms that all assets are inflated. Introduction Amidst all the turmoil from BREXIT, negative interest rates and global downward economic growth forecasts, the S&P 500 has reached a… Read More »As The S&P 500 Reaches New Highs, Asset Inflation Continues

Prepare for Earnings Season: Prices, BREXIT, GDP & Trends

This article provides a list of companies whose earnings will be affected by the BREXIT. The dollar is stable thus we should not expect strong global currency effects. The probability of U.S. recession has hit an 8-year high which should be detrimental for earnings in next two years. Introduction In the long term, stock returns are… Read More »Prepare for Earnings Season: Prices, BREXIT, GDP & Trends

There is a Huge GAP Between Reported and GAAP Earnings

Real earnings are currently 25% lower than pro forma reported ones. The other consolidated income statement can also hide surprises. Introduction How would life look if things were as you saw them or exactly like someone presented them? Surreal for sure as it would require a non-human mind to objectively process information and accept a… Read More »There is a Huge GAP Between Reported and GAAP Earnings