Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Stocks

Here’s How To Find The Best Upcoming Earnings Reports

by January 19, 2025
January 19, 2025
Here’s How To Find The Best Upcoming Earnings Reports

Our strategy at EarningsBeats.com just simply makes good common sense. If you want to find the best earnings reports BEFORE they’re reported, follow relative strength. I’ve explained this many times, but let me do it again. Wall Street firms talk to management of companies throughout the quarter until four weeks before the company’s quarter ends and the extended period leading up to when a company makes its earnings announcement to the public. This prohibits anyone from gaining insider information before it’s released to the public.

Following the price action is, in some ways, gathering information prior to quarterly reports being released. But it’s legal. It provides us a sense of what the big Wall Street firms believe about a company’s prospects and those firms communicate frequently with management teams during “non-quiet periods”.

During past quarters, I’ve done studies on how company’s report earnings given their relative strength status among peers. It’s been quite obvious to me that if you are a relative leader in price performance on your charts heading into an earnings report, then odds are much greater that the company will release strong results. It’s definitely no guarantee, but in trading, we’re looking for clues that boost our odds. After 40 years of investing/trading, I’m not aware of ANY strategy that works all the time.

Bank Earnings

JP Morgan Chase (JPM) posted great results, but it was very easy to assume great earnings were coming. Why? Well, look at the chart and check out the relative strength line, which hit a 52-week high in December, the last month of Q4:

This is the definition of a leading stock within a leading industry group. Those bottom two panels are as important a clue as anything I’ve seen in determining whether a company will beat its revenue and earnings estimates. In the case of JPM, this revenue and earnings beat led to higher price action, but that’s not always the case. Therein lies the reason why buying leading relative strength stocks will not always mean a gap higher in price. There’s this thing called, “buy on rumor, sell on news” that can result in selling after a hugely bullish revenue and earnings beat. But the beats tell me to add JPM to a watch list and pounce on the buy side when it’s appropriate (breakout, pullback to support, etc.).

Our last EB Digest newsletter article from Wednesday, January 15th featured another financial stock that looks quite similar to JPM in terms of relative strength and being a leader in a leading industry group. Check out Interactive Brokers Group (IBKR), which will report its earnings on Tuesday after the closing bell:

IBKR has been strong, gaining 114.45% over the past year, but it’s relative strength keeps pushing higher and higher. It’s also a part of a very strong investment services industry group ($DJUSSB). I see another HUGE earnings report coming on Tuesday. I’m not sure whether it gaps higher or not, but if revenues and earnings beat consensus estimates, the IBKR will be saved onto a Watch List (for us, that means our Strong Earnings ChartList, or SECL). Then we could consider buying on an after-earnings pullback sometime down the road.

Weekly Market Recap

Every weekend, I recap the prior week’s action and today’s was quite interesting. After all, what do the inflation folks cling onto now? We just saw both December Core PPI and December Core CPI come in below expectations and the 10-year treasury yield ($TNX) dropped like a rock. Meanwhile, we’ve now seen the yield curve uninvert, leading to strength in banks ($DJUSBK). For a discussion about all of this, be sure to check out our YouTube video, “The Ghost of Inflation? Market SOARS on Tame Inflation Data”. While you’re there, please help us by hitting the “Like” and “Subscribe” buttons. Leave a comment and let me know if you agree or disagree with my discussion.

EB Digest – FREE Newsletter

If you’re not already an EB Digest subscriber, please register now. It’s completely FREE with no credit card required and it’s simple to sign up. REGISTER HERE to enter your name and email address and, on Tuesday, I’ll send you yet another leading stock in a leading industry group poised to deliver BLOWOUT earnings results when they report.

Happy trading!

Tom

0
FacebookTwitterGoogle +Pinterest
previous post
DAVID MARCUS: China already played us with TikTok. Let’s not make it worse
next post
Trump gets inaugurated Monday; here’s how the Supreme Court swears in new presidents

You may also like

Week Ahead: NIFTY Violates Key Support Levels; Drags...

October 26, 2024

Stock Market Momentum Slows Down: What This Means...

March 26, 2025

Golf Geometry & Kinematics

July 11, 2024

MEM TV: Market Outlook Into the New Year

December 24, 2022

Here’s Why the Small Cap IWM Will Soar...

November 27, 2024

Cybersecurity ETF Comes to Life with New Trending...

October 12, 2024

The BEST Simple Moving Average Trading Strategy

February 5, 2025

Another Risk OFF Signal

November 8, 2022

Higher Gold Price Coming, But Investors Must Be...

January 31, 2024

Election Aftermath: Unleashing Profitable Small Cap Stocks

November 7, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Rubio condemns assassination attempt on Colombian presidential candidate Miguel Uribe

      June 8, 2025
    • Obama WH physician says Biden doc should have performed cognitive test

      June 8, 2025
    • Trump warns of ‘serious consequences’ if Elon Musk funds Democrats

      June 7, 2025
    • Musk jokes about reconsidering stance on Big Beautiful Bill after Schiff’s praise

      June 7, 2025
    • Musk deletes explosive posts about Trump and Epstein files

      June 7, 2025
    • House witness flips script on Dem who ambushed him during hearing with unearthed tweet: ‘Iceberg is ahead’

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,570)
    • Stocks (3,136)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved