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Category Archives: sandbagging

Wall Mart Sandbagging confirmed

Well what do you know?  Wall Mart and Wall St. sandbagged a $1.57 earnings estimate (Wall Mart Q4 2012 earnings), choreographed a leak to lower expectations further, then managed to handily beat the sandbagged earnings -not by a modest 1 cent/share as I expected- but by 10 cents a share ($1.67).  Wonders never cease.  

I smell a rat at Wall Mart

There’s a tradition among corporate executives wherein shortly before earnings are announced they make comments expressing concern about earnings results. This causes the stock to drop a little bit, but then climb higher after (miraculously) announced earnings beat lowered expectations. Wall St. is complicit in the game. Analysts are uniformly bullish on future earnings, and gradually lower earnings expectations immediately prior to the announcement […] Read the rest of this entry »