It’s that time again, folks. Another thrilling earnings season is nearly upon us! We’ll soon find out how companies have crushed it in the first quarter of 2023. And Luke has some bold predictions for these upcoming earnings reports.
He thinks earnings will blow past expectations, mostly thanks to the smart cost-cutting strategies companies have implemented over the past few months. While the economy was struggling at the start of the year, business leaders didn’t sit back and wait. They took action and revamped their budgets to cope with the uncertain environment.
Now revenues are looking solid, but Wall Street is still pessimistic about earnings because of shrinking margins.
But Luke’s not buying it. He believes profit margins will bounce back in 2023 as inflationary pressures ease. And as companies continue to reduce their expenses and optimize operations, they will unlock positive operating expense (opex) leverage, which will likely lead to robust operating margin expansion in 2023.
That’s why Luke anticipates some impressive upside surprises in this earnings season. And stocks should soar as a result.
If you’re new to the Hypergrowth Investing podcast, we publish weekly on Wednesday at 5 p.m. Eastern. Featuring Aaron Davis, Luke Lango deftly talks topics such as “What Went Wrong at Silicon Valley Bank” and “Why SoFi Stock Is Melting Up Amid the Banking Meltdown.”
Our podcast’s 25,000 subscribers have said Luke has “impressive perception,” is “very good at what [he] does,” and is “[the] best out there.”
On the date of publication, Seth Kuczinski did not have (either directly or indirectly) any positions in the securities mentioned in this article.