With 2Q earnings season underway in the U.S., the question arises as to what effect trade and the global slowdown are having on 3Q19 earnings.
Below are charts of 1-month upward company revisions (defined as number of companies with upward revisions divided by the total number of companies with upward and downward revisions) for the U.S., Japan, and Germany. All have been trending downward over the last year although earnings growth is still forecasted to be positive – around 4% globally for 2019.
DISCLOSURE: The opinions expressed herein are those of DCM Advisors, LLC (“DCM”) and are subject to change without notice. This material is for informational purposes only and is not financial advice or an offer to sell any product. It should not be assumed that the investment recommendations or decisions we make in the future will be profitable. All investment strategies have the potential for profit or loss. Information was obtained from third party sources which we believe to be reliable but are not guaranteed as to their accuracy or completeness. DCM is an independent investment adviser registered under the Investment Advisers Act of 1940, as amended. Registration does not imply a certain level of skill or training. More information about DCM including its advisory services and fee schedule can be found in Form ADV Part 2, which is available upon request.