The no-guidance guidance

Investment Analysis Clubs Macro Economic Trends and Risks
1

From Fortune:

It’s earnings season, and while the quarterly results don't yet show the impact of global tariffs, there's already a clear behavior shift among CEOs.
One new trend on the calls: CEOs are refusing to provide any forward-looking guidance. CarMax, for example, declined to provide any timeline for reaching its financial goals due to “broader macro factors.” Delta Air Lines, which previously provided 2025 performance guidance, clawed it back, citing “unprecedented uncertainty.” Once the tariff dust settles, the no-guidance guidance trend may still stick. [From my colleague Geoff Colvin]:
“Tariff tumult is forcing companies to confront an uncomfortable new reality: They have no earthly idea what their profits will be in this quarter or the next. In response, some CEOs are abandoning the sacred tradition of predicting quarterly profits for investors and Wall Street analysts to obsess over.
5 Likes
2

Over several years of watching bubblevision, it became apparent the CEOs will lie like a rug, if it serves their purpose.

Steve

2 Likes
3

“the CEOs will lie like a rug, if it serves their purpose.”

I 100% do not think they are lying this time. This is unprecedented territory for the entire Country, how are the CEO’s supposed to have a clue as to how their customers will react to these tariffs, no modern case history to study.

This is all so incredibly stupid and inept on Trump’s part.
But it’s not like he doesn’t have a history of making incredibly stupid and inept business ( and personal ) decisions.

This could get really, really ugly if someone in his group doesn’t get a handle on him, and fast.

Or, we could just follow along with the " he’s a businessman, he knows what he’s doing, the American public just needs to shut up and trust him ".
That don’t work for me. And it’s sounding like there ain’t a whole lot of trust for him in the CEO community, either.

5 Likes