Inside Arbitrage Friday Wrap – Missed Earnings Expectations

  • February 3, 2023


Our list of curated tweets for the current week



I wonder when earnings will matter? $AAPL $GOOG $AMZN.

Analysts revising their expectations for earnings growth back to Earth.

Apple missed profit expectations for the first time since 2016.

Amazon's AWS revenue in 2022 ($80 billion) was higher than the revenue of 457 companies in the S&P 500.

“Chip equipment companies’ sales are plunging by around 30% to 50%. This is not a normal situation.”

$MRK $LLY DOWN, confirming the about-face in markets right now.

My latest looks at recent earnings reports for what are now the two most valuable pharma companies in the world (excluding J&J)

$TMUS continues the industry trend of falling upgrade rates.

There is no mega cap name putting up +37% rev growth and selling for under 45x 2023 earnings. Just $TSLA.

Ford's Cash Flow from Operations from 2020 through 2022.

Unit growth is quickly becoming THE story in restaurants. $MCD

S&P 500 results for Q4 have been pretty disappointing so far.

$META Earnings

$PFE 2023 guidance

$CAT Earnings

Special Situations

Atlas Technical Consultants $ATCX Enters into Definitive Agreement to Be Acquired by GI Partners for $12.25 Per Share

Yamana, Pan American shareholders approve deal for Latin America assets

On the Rogers-Shaw deal, Industry Minister Champagne says they’re still looking at the appeal court decision, and he’ll make a decision “in due course.”


Microsoft offers commitment to U.S. court not to close Activision Blizzard merger before May, but seeks outright dismissal of so-called gamers' lawsuit anyway

On Mar. 9th defendant Microsoft will and hereby does move the Court to dismiss this action for lack of subject matter jurisdiction and failure to state a claim upon which relief can be granted

$FOCS shares a popping on reports the company is being acquired for $4.1B and taken private

Cybersecurity firm Rapid7 $RPD explores sale

Meta Platforms $META Susan J.S. Taylor Chief Accounting Officer resigns due to personal reasons

The chief executives of at least four U.S. companies are taking pay cuts as the economy slows ahead of a potential recession

Investors rushed to buy shares of Meta, adding over $75 billion dollars to its market cap after CEO Mark Zuckerberg pledged a ‘Year of Efficiency’ for the company, where it would slash spending and ramp up share buybacks to the tune of $40 billion

$XOM CFO: "We distributed $30B to shareholders last year, equally split between dividends & share repurchases.

$UPS Authorizes a New $5B Share Repurchase Program

AutoZone had 104.5 million shares outstanding 2 decades ago. Today it has 20.1 million. A 20-year buyback CAGR of ~8%.

Mondelez International, Inc. $MDLZ approves a new $6 billion program through December 31, 2025

$MO Altria Group higher this morning after company announces $1B share repurchase program!

U.S Economy

In the U.S., the money supply (M2) is contracting at an unprecedented 3-month annualized rate of -5.4%.

Current market expectations for path of the Fed Funds Rate

US Productivity growth surged at a 3.0% annual rate last quarter, more than expected.


it’s becoming increasingly clear we are sleepwalking into an earnings recession.

Soft landing/no recession is going to start becoming consensus among people who follow business news and run companies, which will directly lead to fewer layoffs/more hiring and spending.

Powell still believes in a soft landing But such a deeply inverted yield curve might have other plans AKA recession in the later half of 2023 or in 2024


There are dozens of cash-rich companies where the cash alone can now produce enough interest income to get to a P/E of 20 or so.

Meta wins court nod

Late night upgrade from BMO on $

The Adani Crisis

Adani Group – How The World’s 3rd Richest Man Is Pulling The Largest Con In Corporate History

Hindenburg has alleged the presence of a shadowy network of overseas operators manipulating Indian stocks.

The Adani Group has shed $108 billion in market value since Hindenburg Research accused it of stock manipulation and accounting fraud in a Jan. 24 report

Your @narendramodi supporters want clean corporate India.