Prescription Drug User Fee Act (PDUFA) dates and content are essential for portfolio managers of healthcare stocks. A single positive or negative announcement from the US Food and Drug Administration (FDA) can send shares of a biotech firm soaring or turn a hot name quickly into a bear market.
This week, we feature insights on what companies are doing with their cash flow in light of the much better than expected operating conditions. We also investigate one small U.S. firm as an Earnings Outlier that traders should keep on their radar.
As inflation fears continue to ramp up and earnings season subsides, volatility has returned to global equity markets. We feature two firms with important earnings-related corporate events that traders should monitor.
The emerging theme is, “what will firms do with capital now that lending standards are easing and companies are ripe with cash?” M&A, returning value to shareholders, and rising wages are three routes corporate managers can take. We hear headline after headline regarding rising low-end wages, but investors should monitor other uses of cash as we exit earnings season.
Although earnings releases remain a key part of corporate event data, the survey results recognize that investors pay attention to a wider variety of event data than in the past few years.
While the Q1 earnings season starts to cool down this week, we will get a read on US consumer health as retailers start to report. All together we’re expecting results from 724 worldwide companies, with 510 of those located in North America.
The implications for international firms include the challenge of passing on higher costs to consumers. For investors, it becomes even more important to be aware of corporate events and unusual company-specific news that will drive stock price action. Expect executives to turn their focus away from the pandemic and toward fundamental risks such as supply shortages, rising interest rates, and inflation.
Walt Disney Co. is out with Q1 results after the bell tomorrow, and we’re tracking an interesting pattern of events forming. Typically when a company hosts, sponsors and/or attends several corporate events in a short period of time, it’s worth paying attention to as it stokes volatility.
With peak earnings season and shareholder meetings coinciding this week, expect to see a lot of volatility around corporate events.
The market is experiencing a different form of distress than during the 2008 financial crisis when US home prices cratered 27% peak to trough. Today the housing market crisis is around strong demand and limited supply. Economics 101 says that prices increase in that scenario.