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Normalizing Earnings During Profit Freefalls

Posted By Barry Ritholtz On May 18, 2009 @ 7:07 am In Earnings,Technical Analysis | Comments Disabled

I am becoming terribly enamored of the charts Ron Griess highlights each week form The Chart Store [1]. Now that earnings season is all but over, Ron looks at a few charts that are revealing of the extent of the damage done to corporate profitability. It is, in a word, breathtaking:

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How Cheap Are Stocks?

5-15-09-weekly-sp-w-p-e [2]

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How Much Have Profits Fallen?

5-15-09-sp-earnings [3]


Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2009/05/normalizing-earnings/

URLs in this post:

[1] The Chart Store: http://www.thechartstore.com/

[2] Image: http://www.ritholtz.com/blog/wp-content/uploads/2009/05/5-15-09-weekly-sp-w-p-e.gif

[3] Image: http://www.ritholtz.com/blog/wp-content/uploads/2009/05/5-15-09-sp-earnings.gif

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