This stock has been on fire since the beginning of the year, in the hopes that China wasn’t that bad and the slowdown in crude was meh.
Well, gents, the market is an ass and CAT just vomited all over itself with a St. Patrick’s Day earnings warning.
Via briefing.com
Co issues downside guidance for Q1 (Mar), sees EPS of $0.65-0.70, ex items, vs. $0.95 Capital IQ Consensus Estimate; sees Q1 (Mar) revs of $9.3 to 9.4 bln vs. $10.22 bln Capital IQ Consensus Estimate.
Representatives of the Company also stated that they remained comfortable with the full year guidance for 2016 sales and revenues and profit per share as most recently stated in a Form 8-K Caterpillar filed with the Securities and Exchange Commission on January 28, 2016. (was for FY16 (Dec) EPS of $4.00 vs. $3.73 Capital IQ Consensus Estimate; sees FY16 (Dec) revs of $42 bln at mid-point vs. $41.5 bln Capital IQ Consensus Estimate).
Shares have led the Dow higher.
The reaction is muted, quite frankly. A reduction in guidance of this magnitude should engender a sharper response.
SPY futs are -10.
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Good Morning to your Half Irish side.
fat kitty is on a long term diet
Cat is a reflection of the slowdown in worldwide growth to an extent but also and maybe more telling, the current oil patch funk. The patch literally eats machinery and it is shut down. Period.
So thinking along those lines and further up the food chain……. What banks have the most exposure to oil patch activity here in the USofA? I’m thinking there is a minefield in that area and a carnage of epic proportion is due.
How would one go about researching who is exposed to how much?