Keeping earnings a secret before officially announced

Discussion in 'Trading' started by Ayn Rand, Apr 24, 2022.

  1. Ayn Rand

    Ayn Rand

    Anyone have information on how large corporations are able to compile earnings without the information leaking out before they are announced?

    Seems like
    1. 20 – 100 people would be in on the process
    2. Take several days to compile info
    3. Final results in tangible form at a minimum hours before being reported
    4. With information being worth tens of millions at a minimum.

    This being said, I have never personally seen indications of major market manipulations of large stocks prior to earnings.

    There is also 2 parts to this

    1. Knowing the earnings info
    2. Anticipating how the market will react to the info.

    This week will offer many examples to review as most of the largest capitalized stocks report earnings.
     
    easymon1 likes this.
  2. deaddog

    deaddog

    The trick is to manipulate the earnings to show the numbers you want everyone to see. It's called Generally Accepted Accounting Principles. Only your accountant knows for sure.
     
    ElCubano likes this.
  3. deaddog

    deaddog

    I would think that computers have reduced that to several minutes and that results can be manipulated in seconds.
     
  4. Nobert

    Nobert

    As a ,,the lowest tier" labor worker you would be able to see the increased revenue due the increase in orders/clients etc.
    To get the insider info is not hard.
    It's harder, to keep it. But it would vary per business. Something that has e services (PRLB), is more likely to protect the info than someone like AMZN.

    Volker rule, might be, partially, exploited as well.
     
    Last edited: Apr 24, 2022
  5. Specterx

    Specterx

    The SEC knows who those 20-100 people are, and they monitor unusual activity around earnings numbers. As the CFO or senior level accounting staffer for a public company, how much does the payoff need to be to risk permanently losing your job, six-figure salary, license, and reputation, with a stint behind bars to top it off?
     
  6. mikeriley

    mikeriley

    Easily circumvented using a trustworthy strawman
    who's taken an oath of omerta.
     
  7. ET180

    ET180

    I think it would be pretty easy to do. You tell a golf buddy. Golf buddy pays you back half the gains in Bitcoin off exchange transfer or gold coins. Once you run out of golf buddies, use dentist, doctor, accountant, etc.
     
  8. bublu

    bublu

    That's why i believe forex is more transparent than stock trading as we don't have to rely on insiders for making profits in forex.
     
  9. Lol...We know earnings are horrible this quarter...they know earnings are horrible this quarter..yet the manipulation will continue until you realize this is not a free market AT ALL. If you follow Japan ahead of US in all things stagflation/Central Bank destruction...You'll see that eventually the central bank just prints and buys both the bond market (already done) and the Stock market (happening now)...your puts just dissolve into the manipulation.

    And during times of war (US has been technically at war since the dot com bubble crashed) earnings are allowed A GREAT DEAL of "leigh way"...probably Flat out Lying type of leigh way.
     
  10. maxinger

    maxinger

    upload_2022-4-25_13-36-46.jpeg
     
    #10     Apr 25, 2022