The Tax Law Has U.S. Companies Making Big Plans

The tax bill will have a significant impact on corporate finances, reports a recent Wall Street Journal article, although the effects “can vary widely by company.” According to Natixis chief economist Joseph LaVorgna, analysts are expecting the legislation to “provide a 7% to 8% boost in aggregate per-share profits for companies in the S&P 500 this year,” a big portion of which will come from increased corporate spending. “Someone else’s capital outlay is another company’s… Read More

Best Earnings Season Since 2011

As of last week, the majority of companies that reported earnings have beaten estimates, making this earnings season one of the best since 2011. This according to an article in last week’s Barron’s. The upbeat results, in many cases, apply to both the top and bottom lines, the article says, with much of the outperformance “driven by the big year-over-year jump in energy prices…as well as rising interest rates.” While first-quarter earnings are set to expand… Read More