Add Johnny John to the list of "company specific" shortfalls, as J&J reported their net rose 79% — but on lower taxes; It was the top line revenue that slid on soft drug sales. (Yes, the company specific remark was sarcasm)

Let’s review the list of revenue misses, earnings shortfalls, and lowered guidance:


And I’m sure I’m missing a few.

OK, permabulls, time to start spinning!

Category: Earnings

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

14 Responses to “Earnings Continue to Soften: J&J”

  1. Michael says:

    Pfizer “made” its numbers thru cost cutting, not growth. In fact, many of their big patent drugs are growing at declining rates. But the way the analysts have spun it, PFE did great. Stock topping at 25, people holding on to see what Hammering Hank comes up with for the Feb 10 meeting (guidance for yr ahead).

  2. royce says:

    The other day I saw a headline that was something like, “Stocks Rise on Earnings News”. I thought, what did I miss?

  3. pjfny says:

    more stocks: BMY, CA , CL

    A consistent message of revenue short fall/ guidance !! This points to a slowing economy.
    At peak margins and peak earnings in the past and with cost pressure and a slowing economy in the future….who wants to buy peak trailing P/E’s?

  4. Mal says:


    Not sure when you left the plantation– but good luck on RCP. I am sure you will have great success running money.

  5. DG says:

    In addition to BAC and the afforementioned BMY, we have:

    JPM missed revenue because of lower trading
    AXP’s net income fell
    NYT (of course the newspapers are in huge trouble)
    HSY missed and said “substantial cost” increases in the future

  6. spencer says:

    The primary determine of profits growth is the spread between unit labor costs and prices and that seems to be narrowing as productivity growth also appears to have peaked.

  7. DG says:

    Well, with margins at historic highs, the real question is how companies maintain that, especially if the consumer slows as we expect.

  8. Idaho_Spud says:

    As Barry has pointed out before, if it weren’t for the energy sector (and share buybacks), the major indexes would have sucked eggs last quarter.

    I propose that like the CPI, we come up with a “core” index, something that ignores *earnings* caused by highly volatile food and inflation.

  9. erikpupo says:

    Add Juniper and Qualcomm to the “softie” list. Barry, have you asked Cody “Cult of the Bull” Willard what his thoughts are on this tech “non-slowdown”?

    What does it take for him to get that things are slowing?

  10. Idaho_Spud says:

    OOPS. make that core index, minus volatile food and *energy*.

  11. 3M Co. reported a tepid gain of 5.7% in fourth-quarter profit, while sales in the period rose 4.6%

    3M also projected first-quarter per-share earnings of $1.10 to $1.14, a little weaker than expected by Wall Street analysts.

    Given the diversity of its lines, which range from Post-it notes to medical equipment, 3M is often viewed as a benchmark for the larger U.S. economy. It is also one of the 30 stocks in the Dow Jones Industrial Average.

  12. danny says:

    one might argue that softee’s (MSFT) quarter was tepid.

    those rabid analysts wanted higher XBox numbers, but Softee cited a capacity constraint, yada yada…..

    It’s a shame MSFT is now a mature company; naturally its multiple has shrunk & plateaued.