Trump tariff uncertainty still makes earnings estimates and guidance useless

From Yahoo Finance: 2025-05-18 06:00:00

Stocks turned positive for the year as investors celebrated the US-China trade truce, with tech giants like Microsoft, Amazon, and Tesla leading the charge. Earnings from Cisco and Walmart were decent, but the reliance on earnings estimates and guidance is questioned by experts like former Medtronic CEO Bill George. Walmart plans price hikes due to tariffs uncertainty, while Mattel and United Airlines pull guidance altogether. The market is still expecting double-digit earnings growth, but some believe it’s too optimistic given the current unpredictable climate. Veteran strategist Adam Parker warns that earnings may need to come down, signaling potential stock market volatility ahead. Investors are facing yet another challenge in 2025 as uncertainties loom. Brian Sozzi, Yahoo Finance’s Executive Editor, highlights the potential impact on the market. Stay informed with in-depth analysis of stock market news and the latest financial updates from Yahoo Finance. Follow Sozzi on Twitter, Instagram, and LinkedIn for more insights.



Read more at Yahoo Finance: Trump tariff uncertainty still makes earnings estimates and guidance useless