tag:blogger.com,1999:blog-6616959642391988608.post2592244634279533755..comments2024-03-28T00:18:25.641-07:00Comments on Calafia Beach Pundit: From a global perspective, corporate profits are not unusually highScott Grannishttp://www.blogger.com/profile/14028519647946868684noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-6616959642391988608.post-26307978437353620272012-03-20T23:12:22.421-07:002012-03-20T23:12:22.421-07:00This comment has been removed by a blog administrator.spoorthyhttps://www.blogger.com/profile/08365779659013972972noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-82785044636970063292012-03-09T09:00:17.300-08:002012-03-09T09:00:17.300-08:00Scott,
Thanks for creating the new chart and sta...Scott, <br /><br />Thanks for creating the new chart and starting the discussion here. Very helpful. <br /><br />Another "quick" question: in the previous "mean reversion" cycles of corporate profit margins, what were the main drivers? Are they always the same in each down cycle? <br /><br />It's been a long time since my Econ 101 days, but my guess is that:<br /><br />WimpyInvestorhttps://www.blogger.com/profile/18148362644880449393noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-27538676107225889522012-03-09T06:50:28.141-08:002012-03-09T06:50:28.141-08:00Fantastic chart Scott Grannis! I have made this ar...Fantastic chart Scott Grannis! I have made this argument to people who have made the profit margin reversion to mean argument to me, but I was too lazy to put together the data. Thank you!Mark Dodson, CFAhttps://www.blogger.com/profile/17995335143458282308noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-24631534566142484412012-03-09T05:20:04.186-08:002012-03-09T05:20:04.186-08:00Scott,
Along the same line, and a kind of a "...Scott,<br /><br />Along the same line, and a kind of a "have your cake and eat it too", American corporations bring global diversification without the need to own foreign stocks.<br /><br />Bullishness on the Emerging Markets and the desire to diversify can bring you to purchase large cap US stocks.PD Dennisonhttps://www.blogger.com/profile/10012560806774461700noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-7901092932518404862012-03-08T16:19:00.082-08:002012-03-08T16:19:00.082-08:00Jake said...
"Interesting and makes sense if ...<b>Jake</b> said...<br />"Interesting and makes sense if US corporations were taking a lion's share of global markets."<br /><br />I don't see what this caveat has to do with Scott's argument. It is well known that GM now sells more vehicles in China than in the US. Porsche's sales are now larger in China than in the US. Likewise the sales of John Deere and Caterpillar Williamhttps://www.blogger.com/profile/04418491109912775561noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-17850747690184768512012-03-08T11:31:01.036-08:002012-03-08T11:31:01.036-08:00Jake-
You think Chinese airlines are buying Chine...Jake- <br />You think Chinese airlines are buying Chinese planes? Are Chinese power plants using Chinese turbines? Sure, they're using Chinese steel, but where are the fatter margins, in the steel or in the planes?? Do the Chinese haul their coal and whatnot in the Chinese version of the Caterpillar 797? Doubtful.Donny Baseballhttps://www.blogger.com/profile/08040288585224426073noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-88010398310890881542012-03-08T10:58:54.561-08:002012-03-08T10:58:54.561-08:00PS: Global hiring is taking off! For example, Fox...PS: Global hiring is taking off! For example, Foxconn (Apple's manufacturing arm) is currently hiring tens of thousands of new high-tech workers right now -- follow the link below to apply:<br /><br />http://www.foxconn.com.tw/<br /><br />Also, global mining firms are also hiring many thousands of new workers right now -- follow the link below to learn more:<br /><br />http://McKibbinUSAhttps://www.blogger.com/profile/10545798495680527622noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-27114896009488078892012-03-08T10:49:07.127-08:002012-03-08T10:49:07.127-08:00Profitability is improving at global firms, which ...Profitability is improving at global firms, which is exciting -- I can see an entire layer of commerce that is about to displace nationalized commerce in the coming decades -- in fact, the future of national firms is suspect at best as globalized companies seek to decouple their futures from exploitive nation states (such as the US) who tend to loot corporations via taxes and tribute -- in fact, McKibbinUSAhttps://www.blogger.com/profile/10545798495680527622noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-82296534756519045482012-03-08T10:39:01.843-08:002012-03-08T10:39:01.843-08:00Interesting and makes sense if US corporations wer...Interesting and makes sense if US corporations were taking a lion's share of global markets. Unfortunately, my guess is we are losing market share to foreign companies (for example, I would be shocked if Chinese companies weren't taking market share of the Chinese market for most industries). So, the apples to apples comparison would be total global profits as a percent of total global Jakehttps://www.blogger.com/profile/07946497592651234440noreply@blogger.com