News Formal

Morgan Stanley: Wall Street is wrong, there will be an earnings recession this year

  • 📰 CNBC
  • ⏱ Reading Time:
  • 32 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 16%
  • Publisher: 72%

Sverige Nyheter Nyheter

Sverige Senaste nytt,Sverige Rubriker

Morgan Stanley is calling for a full-blown earnings recession, while many other analysts see one negative quarter and a return to positive profit growth by the second quarter.

div > div.group > p:first-child"> Michael Wilson, Morgan Stanley's chief U.S. equity strategist, says he's looking for two or more quarters of negative or flat growth, meeting the technical definition of a recession. Wilson, in a note, says first quarter earnings could be better than the forecast 4% decline in S&P 500 profits because of the propensity of companies to beat estimates.

The ratio of companies offering negative guidance compared to those forecasting positive results is the highest since the first quarter of 2016, the last year with quarters of negative earnings growth. At 3.3 times, the ratio is also above the average since 2005, supporting the view that companies should have 'lackluster' beats this quarter.

Morgan Stanley's Wilson also looked at sector level earnings expectations and said they are much worse in the first quarter than they were in the fourth quarter, when every major sector had positive earnings growth and just one had negative sales growth.

 

Tack för din kommentar. Din kommentar kommer att publiceras efter att ha granskats.

they were already bad last time and still went up. and we still have a trade deal on the horizon

So are they putting their money where their mouth is and shorting the market, or are they just trying to keep prices cheap for some hidden agenda, I never ever trust the big research firms that also run their own book of investments

Yep they said the same in 2008 , the market is fake and being propped up by banks , no way is the economy at 26,000 on the Dow especially when the White House is Calling for Q4 and a cut , they know what earnings are coming

Retail investors IRL

Bullish

Vi har sammanfattat den här nyheten så att du kan läsa den snabbt. Om du är intresserad av nyheterna kan du läsa hela texten här. Läs mer:

 /  🏆 12. in SE

Sverige Senaste nytt, Sverige Rubriker

Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.

Stocks making the biggest moves premarket: Boeing, Wells Fargo, Morgan Stanley, GE & moreSome of the names on the move ahead of the open.
Källa: CNBC - 🏆 12. / 72 Läs mer »

Morgan Stanley says this is the up-and-coming space company to watchThere's a burgeoning sector within the space industry of small, privately-built rockets and Morgan Stanley highlighted Rocket Lab as a disruptive front-runner. Many people are making the same mistake over and over again by keeping their crypto online on different clod wallets or exchanges. Be smart and get a best hardware wallet in the world. Ledger Nano X now. Well positioned is a much better term. Using disrupt to much is making it meaningless.
Källa: CNBC - 🏆 12. / 72 Läs mer »

MORGAN STANLEY: High-flying tech stocks are headed for a rude awakening — and top executives are making the situation even worseMorgan Stanley equity strategists highlight several signs that tech-sector sentiment has gotten overextended, and put some blame on management.
Källa: BusinessInsider - 🏆 729. / 51 Läs mer »