Earnings season is the heartbeat of the market - and every day brings fresh signals about where money is flowing.
With each report, we learn not just how companies are performing, but how investors are reacting.
In the Daily Beat, we spotlight the most important earnings moves from the prior session - the winners, the losers, and the reactions that reveal what really matters to the market right now.
Whether it’s a bellwether with broad economic implications or a niche name making waves, we cut through the noise to focus on the setups that matter most.
Here are the latest earnings stats from the S&P 500 👇
*Click the image to enlarge it
The only S&P 500 earnings reaction on Friday came from the $148B software giant, Adobe $ADBE, which fell -0.30%, but had a slightly positive reaction score after posting better-than-expected headline results.
They reported revenues of $5.99B, versus the expected $5.92B, and earnings per share of $5.31, versus the expected $5.19.
Now let's dive into the fundamentals and technicals 👇
ADBE had its 5th consecutive negative earnings reaction 🐻
Adobe had a slightly post-earnings reaction, and here's what happened:
Growing 11% year-over-year, the top line reached a new all-time high of nearly $6B.
AI-influenced ARR surpassed $5B, with AI-first products and services exceeding $250M in ARR, surpassing full-year estimates.
In addition to the solid quarter, the management team boosted its forward revenue and EPS guidance.
This was another solid report from one of the world's largest software companies. Despite consistently beating estimates, Mr. Market continues to punish shareholders for these earnings events.
That's not something that happens when a stock is strong... It's what happens when the sellers are in control.
As you can see on the chart, the price is on the verge of resolving a textbook multi-year distribution pattern. With the technicals and fundamentals pointing lower, we think this top could be resolved soon.
If and when ADBE closes below 330, the path of least resistance will shift from sideways to lower for the foreseeable future.
Let’s keep moving
-The Beat Team
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