The one place where it would seem like it would be harder to hide this hand wavy stuff on it is the earnings statement, but companies have ways of adjusting that. The basic thing of earnings is net income, right? Well, if that doesn't work, you know, companies go to operating income or EBIT earnings before interest in taxes. If that's not great enough, adding back depreciation and amortization to the EBIT number. Now you can add back things like stock-based compensation and restructuring or one-time charges. That gets really tricky. Give yourself low expectations and you'll never be disappointed.
S&P 500 companies mentioned “artificial intelligence” more than 1,000 times in the latest quarter, which is more than double from last year. Ricky Mulvey and Anand Chokkavelu took a look at the techniques behind “hand-wavy finance,” and how companies like to capture your attention. They discuss: - How Apple repeatedly “blew away” Wall Street analysts - The big bath strategy for reporting bad news - What previous hype cycles can teach investors about the latest, shiny new thing Companies discussed: AI, KR, GE, AAPL, META Host: Ricky Mulvey Guest: Anand Chokkavelu Engineer: Rick Engdahl
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