💼 What Are Earnings Reports & Why They Matter?
Stock Literacy • Company Fundamentals • Market Movement
Earnings reports are quarterly financial updates companies share with investors 🧾. These reports can cause huge price swings — sometimes 20–50% overnight 🚀 — because they reveal how well a company is performing.
What’s Inside an Earnings Report? 📊
- Revenue: Total money earned
- EPS (Earnings Per Share): Profit per share 💵
- Guidance: Company’s forecast for the next quarter
- Net income & margins
Why Earnings Move Stock Prices 🎢
Markets react when results are better or worse than expected. Even strong numbers can cause a drop if investors expected more — it’s all about expectations vs reality ⚖️.
How to Use Earnings as a Trader / Investor 💡
- Identify long-term strong companies
- Avoid buying right before earnings (high risk!) ⚠️
- Watch post-earnings trends
Educational & informational only — not financial advice.
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