chartguy

As Bank Industry Analysts Lose Jobs, Serious Blogs Take the Forefront

Reggie - I haven't been reading SA recently, and found this post from a link on another site. I have, however, been reading your blog and really like your stuff. Thanks, and please keep up the good work. Oh yeah, Happy Thanksgiving, too.

Why Do Analysts Underestimate Quarterly Earnings?

UNDERestimate? You're kidding, right?

I guess if the analysts, in their collective wisdom, lower expectations far enough you can report a "beat". Instead, you should look at ACTUAL earnings on the S&P500 for 1Q08 vs. 1Q07. You'll see the exact same pattern as evidenced in 4Q07.

Now let's use our crystal ball... How do you think earnings will compare for 2Q08? Not to consensus but to 2Q07. My money says "lower". I've positioned accordingly.

Investment Banks: Through a Glass, Darkly

Uh, GS reported yesterday and MS today (first paragraph).