I don’t care what anyone else says ( obviously no? ) as we’ve all got our own opinions.
You can listen to the constant stream of bull%&it coming across CNBC justifying company after company’s earnings misses – then the ridiculous “short-term reasons” they suggest.
Fact of the matter is, the majority of companies that indeed “have met earnings expectations” have largely done so via cost-cutting and margin expansion. Don’t be fooled – this is not revenue growth. Your company might “appear” to be doing better as well – with 60 fewer employees etc…
As “the “global supplier to construction and mining industries, Caterpillar (NYSE: CAT ) sees the very foundation of economic expansion, and is often considered an economic bellwether, particularly in emerging economies like China. More machines sold means more holes dug, more roads built etc.
If in the absolutely “simplest sense” one can’t see / comprehend CAT’s massive earnings miss as indication of global growth “slowing” and forward guidance as “further slowing” – I’d be extremely concerned that you may need to have your head examined.
CAT is no “one hit wonder” or some “.com fly by night”.
As CAT goes………global growth goes.