#bStocksCIS Earnings used to feel like a school test to me. Beat the forecast, green candle. Miss it, red candle. $COHRB is a good reminder that markets don’t mark papers that way.
Coherent reported $2.05B in quarterly revenue, up 34% year over year, and adjusted EPS of $1.74. Management also guided next-quarter revenue to $2.2B-$2.4B. Strong numbers. The stock still fell after the report.
Why? Traders didn’t start from zero. Coherent had already run hard, so a lot of optimism was in the price before the results arrived. A quarter can be good and still fail to surprise buyers.
Now I ask three questions when I see earnings on @BinanceCIS : Was the business strong? Did it beat analyst forecasts? Was it better than the price already assumed? $COHRB passed the first two. The market was arguing about the third. Have you watched an earnings beat turn into a red candle?
Coherent reported $2.05B in quarterly revenue, up 34% year over year, and adjusted EPS of $1.74. Management also guided next-quarter revenue to $2.2B-$2.4B. Strong numbers. The stock still fell after the report.
Why? Traders didn’t start from zero. Coherent had already run hard, so a lot of optimism was in the price before the results arrived. A quarter can be good and still fail to surprise buyers.
Now I ask three questions when I see earnings on @BinanceCIS : Was the business strong? Did it beat analyst forecasts? Was it better than the price already assumed? $COHRB passed the first two. The market was arguing about the third. Have you watched an earnings beat turn into a red candle?
