Sentences with phrase «as corporate profit margins»

For example, corporate leverage is approaching record highs, just as corporate profit margins are beginning to stall.

Not exact matches

Underlying market conditions, such as rising earnings estimates, strong corporate balance sheets and record profit margins, remain favorable, he said.

As a result, you will enjoy healthy profit margins and loyal customers without fearing the encroachment of corporate competitors.

The wage pop [last Friday's 2.9 % growth in hourly wages] spooked the markets because investors, already skittish as valuations were a bit steep (though not as bad as people have been saying, given strong current and expected corporate earnings), envisioned this sequence: wage growth gooses price growth (i.e., inflation), which raises both market and Federal Reserve interest rates, which slows growth and shaves corporate profit margins.

Profit margins are at records, as are corporate profits, gross domestic product, and household net worth.

Wall Street is placing a pathological over-reliance on a single year of forward operating earnings as a complete summary of future corporate prospects, without any adjustment for the level of profit margins.

But as long as 1) inflation remains low, 2) profit margins remain wide (remember the $ 1.5 trillion tax cut package passed in December slashed the corporate rate to 21 per cent from 35 per cent), and 3) GDP is also not expected to go backwards, stocks will probably remain supported.

Corporate profit margins are presently 70 percent above the historical mean going back to 1947, as I've discussed earlier (see, for example, Warren Buffett, Jeremy Grantham, and John Hussman...

Those posts sparked some intense debate in the comments and offline about the increasing influence of foreign profits on corporate profit margins, and how this change may have permanently shifted up the mean for corporate profits as a proportion of GDP.

Some astute investors (such as Hussman and GMO) have argued in essence that the combination of record government deficit spending and unemployment levels has propped up corporate revenues while lowering labor costs, thereby boosting corporate profit margins by as much as 70 percent above historical averages.

Corporate profit margins are presently 70 percent above the historical mean going back to 1947, as I've discussed earlier (see, for example, Warren Buffett, Jeremy Grantham, and John Hussman on Profit, GDP and Competiprofit margins are presently 70 percent above the historical mean going back to 1947, as I've discussed earlier (see, for example, Warren Buffett, Jeremy Grantham, and John Hussman on Profit, GDP and CompetiProfit, GDP and Competition).

But corporate profit margins are 70 % above their historical norms, and the deviation is — painfully — well explained by its mirror image: the combined deficit in the government and household sectors (the deficit of one sector must, in equilibrium, emerge as the surplus of another).

While, at the overall index level, current corporate fundamentals remain resilient and defaults are not expected to pick up significantly, the trend in leverage, profit margins and interest coverage suggests the pricing of spread assets should become more discriminatory as winners and losers are separated in an aging bull market.