We are improving our Company Models for pension expense estimates in periods where we receive incomplete disclosures in quarterly periods. These updates will apply to our Forward-Looking Estimates and our Backward-Looking Estimates.
Note: we must estimate the value of multiple data points in our models because companies often omit footnote disclosures from one filing to the next. More information on how we use estimates in our models is here.
We expect this update to affect our data and models as follows:
- Stock Ratings:
- improved one level for 24 companies.
- worse by one level for 29 companies.
- worse by two levels for 2 companies.
- Credit Ratings:
- improved one level for 20 companies.
- worse by one level for 5 companies.
- Core Earnings:
- improved for 65 companies by 0.03% on average. The largest % increase was 5.41%, for ticker SPR in fiscal 2Q23, the smallest was 0.00%.
- declined for 20 companies by 0.56% on average. The largest % decrease was 15.51%, for ticker CVNA in fiscal 1Q23, the smallest was 0.01%.
We expect these changes to be live in our Company Models and data feeds beginning on 7/21/23. For data feed clients, data impacted by these updates will have the text “SYSTEMATIC_MODEL_CHANGE” in the Event Type column of your data feed.
This article was originally published on July 13, 2023.
Disclosure: David Trainer, Kyle Guske II, Hakan Salt, and Italo Mendonça receive no compensation to write about any specific stock, sector, style, or theme.
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