There's No Place Like Home

Once again, investors find themselves in the middle of earnings season. This week brings about a third of S&P 500 companies delivering quarterly results. So far, the season has been unimpressive. More than 60% of reporting companies so far have beaten earnings estimates, but less than 45% have beaten revenue estimates. I tend to look more at how a company is doing on revenue than expectations on the earnings side. Earnings can be tweaked by additional stock repurchases, delaying costs and various accounting measures. Revenue is far less subject to manipulation.

One trend that is apparent early this season is how large American multi-nationals are struggling to deliver results from overseas operations. General Electric (GE) delivered mixed results, including a mid-single-digit sales decline in its Industrial divisions. Most of the problem centered on Europe, where revenues were down not quite 20% year over year. IBM (IBM) reported significantly below expectations and the stock was subsequently pummeled by investors for its worst day in almost a decade. Among the many disappointments was a $0.07 a share currently loss contained in the report due to the free-falling Japanese yen. Given current Japanese policy of devaluating the yen to help bring the country out of a deflationary spiral, this will not likely be a one-time event....252 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

Read the full story and get access to the Real Money Pro trading floor.

There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.

Already a Subscriber? Please login.

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.