Eli Lilly & Co. (LLY), Seagate Technology PLC (STX), Reynolds American, Inc. (RAI): You Should Be Concerned With These 4 Post-Earnings Stocks

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With $14.62 billion in revenue for this quarter, Caterpillar Inc. (NYSE:CAT) lost $2.75 billion year-over-year. Roughly $1 billion of that loss came from reductions in dealer inventory, and the company expects further decelerations of $1.5-$2 billion in the second half of this year. Therefore, with questions in mining and China still present, I can’t justify investing in a company with so many unknowns.

Final Thoughts

It is easy to get excited about a company’s earnings, and make irrational decisions. But as I explain in my book, the key is to assess the quarter from all angles — reading the report and listening to the call — before making any decisions. Then, make an opinion based on the facts, not the stock performance. With that said, looking at the facts and considering the future, I don’t see much excitement for these four stocks.

Brian Nichols has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

The article You Should Be Concerned With These 4 Post-Earnings Stocks originally appeared on Fool.com and is written by Brian Nichols.

Brian is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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