Rules of the Game: Earnings Road Race
This article originally appeared on April 29, 2013 on Real Money. To read more content like this + see inside Jim Cramer's multi-million dollar portfolio for FREE. Click Here NOW.
It's another big week for earnings, with a little over half of the S&P 500 companies having delivered results thus far.
Analysts are eyeing an overall year-over-year decline of 0.04% for the companies remaining. Of course, companies often set low expectations, so they will have a beat when reporting time rolls around.
After Monday's bell, the beleaguered Herbalife
While the chattering class will undoubtedly be preoccupied with Herbalife, I'll be watching some S&P names that report after the close.
When Hertz reports after Monday's bell, analysts expect per-share income of $0.17 on revenue of $2.39 billion. Those would be increases over the year-ago quarter. Hertz beat views in each of the past four quarters.
Looking at the current price, many investors would probably conclude that a pullback is due soon. Perhaps, but take a glance at the price-to-earnings ratio of 17, which suggests that this stock is not yet in "priced for perfection" mode, and appears to have some driving room ahead. Hertz closed Friday at $24.19 a share.