Earnings drive stock prices--but understanding earnings goes far beyond glancing at EPS. The article breaks it down into five key steps: from looking at year-over-year growth to digging into margins, analyst revisions, and the sustainability of results.
How do you evaluate corporate earnings when deciding whether to invest in a stock? Do you focus on growth trends, quality of earnings, analyst expectations--or something else entirely?
Let's compare approaches. If you haven't read it yet, the article offers a solid framework for getting beneath the surface: How to Analyze Corporate Earnings in Five Steps (July 2025, by Charles Rotblut).
------------------------------
Lauren Ryoo
AAII Marketing Intern
Chicago, IL
------------------------------