• News
    • Stocks
    • Banks and Finance
    • Companies
    • Crypto
    • Forex
  • Videos
  • Articles
    • Forex CRM
    • Crypto Payments
    • Trading
    • Crypto Exchange Business
    • Forex Business
    • Fintech
    • Liquidity
    • FinTech Awards
  • Liquidity Providers List
  • Crypto Payment Providers

Dark Theme

Stocks Are Struggling After Reporting Earnings. These 5 Could Soar

Apr 20, 2022

Stocks Are Struggling After Reporting Earnings. These 5 Could Soar

The most recent corporate earnings report hasn't given markets a boost, but it is still feasible to uncover equities that can rise in reaction to profit announcements. One method is to hunt for undervalued stocks where Wall Street is becoming more optimistic about earnings.

It's not that incomes have been poor. According to Credit Suisse statistics, aggregate first-quarter profits per share for S&P 500 businesses that have disclosed their results so far were 8.7 percent higher than projected as of Monday morning.

However, according to Wells Fargo data, the average move in those equities the day after the results lagged the S&P 500 by 0.19 percentage points. Companies do not appear to be rewarded for exceeding expectations. This is due in part to the fact that equities are already pricey.

The S&P 500 is now selling at little less than 19 times the aggregate per-share profits projected for index companies in the coming year. That appears to be excessive, considering that bond rates have recently risen, lowering the discounted present worth of future earnings.

Trust strategists recently downgraded equities in reaction to increased rates. Morgan Stanley analysts are assuming a multiple of 18 times projected earnings in determining their target level for the S&P 500, signaling that they anticipate valuations to fall.

When stocks are expensive, they already reflect a significant stream of future profits, so firms must outperform earnings estimates by an even greater margin to drive their stocks upward. That hasn't happened on a consistent basis so far in this profit-reporting season.

The stocks to own ahead of earnings releases are those that have been battered down particularly hard, even while profit expectations have climbed.

Evercore strategists compiled a list of stocks that have lost significantly more than the S&P 500's nearly 8% year-to-date dip, with rises in profit estimates far greater than the 2 percent gain in aggregate EPS analysts predict.

The firms on the list may be ripe for gains following earnings because, while Wall Street has penciled in high profits, their stocks are down, so their prices may not reflect the full stream of profits ahead.

Here Are Five Stocks That Fit This Category:

Nvidia (NVDA) is one of the S&P 500's participants with the poorest performances this year. It is down 26% so far in 2022, but analysts have increased their EPS projections for the calendar year by 9.4% since the end of December.

Snowflake (SNOW) stock has dropped 43 percent this year, yet its EPS projections for 2022 have more than doubled.

Advanced Micro Devices (AMD) stocks have plunged 35% this year, yet earnings per share projections for 2022 are up 20%.

Zillow Group (ZG) has fallen 28 percent this year, while earnings per share (EPS) projections for 2022 have more than doubled.

Pool Corporation (POOL) stock has down 27 percent this year, while earnings per share projections are up about 8 percent.

Maybe it's time to go bottom fishing.

Subscribe Our Newsletter

Nvidia Easily Beats Earnings Expectations on Strong Gaming And Data Center Sales
Nvidia Easily Beats Earnings Expectations on Strong Gaming And Data Center Sales

Nvidia (NVDA) released third-quarter earnings after the bell on Wednesday, exceeding analysts' expectations on both the top and bottom lines, with sales up 50% year over year.

Companies
How Much Will Bitcoin Price Be in a Decade?
How Much Will Bitcoin Price Be in a Decade?

If you've heard anything about Bitcoin, it's almost certainly been about its price rising or falling. However, individuals wanting to invest for the long term should consider a different question: how much will one Bitcoin be worth in ten years?

Crypto
Liquidity Provider

What is Cryptocurrency Liquidity?
Let's find out how to understand the liquidity of cryptocurrency and what are the reasons to deal with a liquidity provider.

discover
How to Get a FOREX License

Liquidity Provider

How to Get a FOREX License

The most liquid market in the world is the foreign exchange market. As an FX broker, you may generate high profits. In most countries, obtaining a forex broker's license is required.

Forex Business

Contact Us

Contact the Liquidity Provider
for any questions and advertising inquiries b2broker

    Please fill out this contact form to get in touch with us

    / 3000

    By clicking “Get in touch” button, you agree to the privacy policy

    Tamta

    Crypto Trading For Beginners

    https://liquidity-provider.com/app/uploads/2023/03/cover-8-800x540.jpg

    Tamta

    How To Make Money With Cryptocurrency

    https://liquidity-provider.com/app/uploads/2023/03/cover-7-800x540.jpg

    Tamta

    What Is A Candlestick Chart?

    https://liquidity-provider.com/app/uploads/2023/03/cover-6-300x203.jpg

    Constantine

    White Label Forex Software — Ultimate Guide on How to Choose The Best Industry Solution

    https://liquidity-provider.com/app/uploads/2023/03/cover-3-300x203.jpg

    Tamta

    Forex Trading: A Beginner’s Guide

    https://liquidity-provider.com/app/uploads/2023/03/cover-2-300x203.jpg

    Tamta

    How to Create a Cryptocurrency

    https://liquidity-provider.com/app/uploads/2023/03/cover-1-1-300x203.jpg

    Tamta

    Top Ten Richest People In The World, 2023

    https://liquidity-provider.com/app/uploads/2023/03/cover-4-1-300x203.jpg

    Constantine

    What’s at Stake? Here’s How to Avoid Scam Tokens

    https://liquidity-provider.com/app/uploads/2023/03/cover-5-300x203.jpg

    Constantine

    Investing in Currencies That Are More Valuable Than the American Dollar

    https://liquidity-provider.com/app/uploads/2023/02/cover-2-300x203.jpg

    Alexander

    5 Best Forex CRM Solutions for 2023

    https://liquidity-provider.com/app/uploads/2023/02/cover-300x203.jpg

    Alexander

    Full Bitcoin Price History: From 2009 to 2022

    https://liquidity-provider.com/app/uploads/2023/01/cover-11-300x203.png

    Constantine

    Top 5 Most Reliable KYC Technology Providers

    https://liquidity-provider.com/app/uploads/2023/01/cover-10-300x203.png

    Alexander

    The Best Crypto Wallets of 2022: Top 5 Picks

    https://liquidity-provider.com/app/uploads/2023/01/cover-2-300x203.png

    Alexander

    Top 5 Most Reliable Forex Brokers of 2022

    https://liquidity-provider.com/app/uploads/2023/01/cover-1-300x203.png

    Constantine

    5 Top-Tier Breakthrough Trading, Crypto and Fintech Industries Software Solutions in 2022

    https://liquidity-provider.com/app/uploads/2023/01/cover-300x203.png

    Constantine

    5 Most Successful FinTech Industry Startups in 2022

    https://liquidity-provider.com/app/uploads/2022/12/cover-300x203.png

    Constantine

    Top 7 Liquidity Providers of 2022

    https://liquidity-provider.com/app/uploads/2022/12/liquidity-provider-3-300x203.png

    Alexander

    Top 5 Crypto Exchanges of 2022

    https://liquidity-provider.com/app/uploads/2022/12/liquidity-provider-1-300x203.png

    Constantine

    Top 5 Most Distinguished White Label Solutions in 2022

    https://liquidity-provider.com/app/uploads/2022/12/liquidity-provider-2-300x203.png

    Constantine

    What is Crypto Leverage Trading And How Does It Work?

    https://liquidity-provider.com/app/uploads/2022/12/oblozhka-5-300x203.png

    Constantine

    Top 5 Most Prospective Tokens in the Metaverse.

    https://liquidity-provider.com/app/uploads/2022/12/cover-7-300x203.png

    Constantine

    How to Mine Bitcoins? – Beginners Guide

    https://liquidity-provider.com/app/uploads/2022/11/cover-5-300x203.png

    Oliver

    Blockchain for Business. Pros & Cons

    https://liquidity-provider.com/app/uploads/2022/11/oblozhka-1-300x203.png

    Constantine

    The Future of Stablecoins and Central Bank Digital Currencies (CBDCs)

    https://liquidity-provider.com/app/uploads/2022/11/cover-3-300x203.png
    • News
      • Stocks
      • Banks and Finance
      • Companies
      • Crypto
      • Forex
    • Articles
      • Forex CRM
      • Crypto Payments
      • Trading
      • Crypto Exchange Business
      • Forex Business
      • Fintech
      • Liquidity
      • FinTech Awards
    • More
      • Videos
      • Liquidity Providers List
      • Crypto Payment Providers
    [email protected]

    © 2023 Liquidity Provider. All Rights Reserved

    Privacy Policy Cookie Policy