What led to the EPS decline? ETR’s cost of revenue fell 21% in 2016 before rising 15% in 9M17. In addition, gross profit expanded 3% in 2016 before falling 2% in 9M17. Operating expenses rose 8% and 14% in 2016 and 9M17, respectively, due to higher asset impairment and decommissioning charges in both the periods. […]
Corning’s net sales and earnings in 2015 and 2016 Corning’s (GLW) net sales fell 6% in 2015 before rising 3% in 2016. Its North American net sales rose in 2015 before falling slightly in 2016, and its Asia-Pacific, European, and other net sales fell in 2015 and rose in 2016. In 2015, its Optical Communications segment’s net sales […]
Reasons behind L Brands’ growing yield Specialty fashion retailer L Brands (LB) saw its sales slow between 2013 and 2016. The company recorded revenue growth of 3.5% in 2016, compared with 6% in 2015. The growth was driven by the Victoria’s Secret and Bath & Body Works segments. Whereas its operating income grew 12% in 2015, it […]
Emerging market struggle Aside from the rates hike as well as the effect in inflows and current accounts of emerging markets, there were other factors rooting against emerging markets. China’s slowdown and change of policy Then came the Q2 figure for China’s GDP, which had investors on edge about a hard landing. While the world […]
Is the Mexican market becoming bullish? Below are additional macroeconomic indicators released in September that point towards a recovery in the Mexican economy (EWW). The Mexican market may be changing its course towards a bullish trend. Unemployment drops The rate of unemployment also continued its downward trend during August, dropping to 5.2% in August versus 5.4% […]
Turnaround signals Earlier this month, several macro indicators started giving faint signals of turnaround for Mexico (EWW). While quarterly GDP was down, PMI started pointing towards a reversal in the negative course. Given that PMI is forward-looking, positive macroeconomic data this month have been key in confirming the positive trend. Industrial production increasing Industrial production was […]
Foreign exchange rate stabilization In the minutes of its latest meeting, Bank Indonesia outlined several reasons why the account deficit is likely to narrow in the coming months. The 1.25% rates hike will certainly help support the rupiah and offset the potential effects of a beginning of tapering. Recently, the government changed the holding period […]
Christine Lagarde, the managing director for the International Monetary Fund, sees a three-speed global economy In her speech at Brookings Institution in early June, Lagarde mentioned that the global economy has shifted this year towards a three-speed economy, versus the two-speed economy coined by PriceWaterhouseCoopers half a year ago. You can broadly categorize the three […]
