3 ms·
All the big tech cos announced today and all beat, yet all of them are flat to down except for Google. Perhaps there’s a limit to already lofty valuations.
by xoxoy 6y ago
All the big tech cos announced today and all beat, yet all of them are flat to down except for Google.
Perhaps there’s a limit to already lofty valuations.
- actuator 6y agoEveryone expected this for all big tech. Google's came as a surprise as last quarter numbers weren't that good. I am assuming it will start moving now considerably.
- deleted 6y ago[deleted]
- HenryKissinger 6y agoThere is no limit as long as the $ printer goes brrrr. Stonks only go up.
- lotsofpulp 6y agoTech companies continue to supplant other businesses though, I can easily see a reason to be bullish if you think they will continue to take over other markets. However, I agree, that broad market US indices will not go down in a multiple year timeline as long as the US government can help it.
- maest 6y agoValuations are forward looking - reported earnings are backward looking.
- xoxoy 6y agoyes, and? earnings are material events that often move share prices considerably. there are implied moves based on options prices for earnings events. the actual stock market rarely functions like the one you read about in a CFA textbook, especially this year.
- totalZero 6y agoTechnically it's hard to say that AAPL "beat," because they didn't guide for Q4 2020. They beat consensus analyst estimates, but that's not quite the same thing IMO.
- kgwgk 6y agoWhat would the beat if not consensus estimates?
- CryptoBanker 6y agoManagement usually issues estimates as well
- kgwgk 6y agoYou're right. But management guidance is usually below consensus. If it wasn't beating their own guidance but not the expectations wouldn't be really seen as a "beat". Or maybe that's not what you mean... "Beating" is about actual results being higher than expectations. I don't think I've ever seen someone before say "beating" with the meaning of "issuing a better-than-expected guidance". (That would be the "raise" part in "beat and raise".)
- qaq 6y agoDon't know looks to me like there is still huge upside for Apple. The services revenue has a lot of room to grow, the Apple silicon macs have good potential, even magnetic charger ecosystem can create a lot of revenue. Plus they are slowly adding new products to the mix anecdotal but I know a ton of people planing to buy a whole bunch of HomePod minis.
- koliber 6y agoInvestors had certain expectations. Even though these companies had great quarters, investors were expecting that. There were no surprises, hence flat stocks. To phrase it another way, it was already priced in.