Smart Finance

Term

Earnings (profits)

What a company has left after paying all its costs. Share prices move on what investors expect future earnings to be, not on last quarter.

In pesos: A company can report record profits and fall 8% the same day because the market expected even more.

Where to go deeper

4/4 5 min Read Why the S&P 500 goes up or down What the S&P 500 actually measures, the four forces that move it, and why the daily number is mostly noise.

More terms on the same topic

Educational content only: not financial, investment or tax advice. The numbers are examples to understand the idea, not a forecast or a recommendation.