More Revenue Surprises
February 3, 2010
We have further evidence that the emerging demand of Generation Y is beginning to be felt in terms of higher revenue growth. We have a long way to go before they reach their spending potential.
We expect to hear the nattering nabobs of negativity to attribute it down to pent up Boomer demand.
Bespoke: In the last three earnings seasons all we heard about was that bottom line numbers were coming in strong, but top line numbers remained weak. This earnings season, however, the top line numbers have been very strong as well.
Below we highlight the percentage of stocks that beat revenue estimates on a quarterly basis going back to 1998. As shown, the revenue "beat" rate is currently at 72% this quarter. This is the highest level seen since the fourth quarter of 2004.
Source: Bespoke
