Earnings Review · 05 November 2026
The print
Revenue $13525.40B. EPS $4.12 vs $2.74 expected.
What changed versus going in
Earnings came in at $4.12 a share against $2.74 expected, a beat of 50% (+$1.38 a share).
Did the flow confirm the move?
Underlying money flow is neutral (21-day Chaikin Money Flow +0.03, five-day price change -1.8%, as of 2026-11-03, desk flow model): no strong accumulation or distribution signature.
Give the business its due
The business itself is genuinely strong: revenue growing about 10%, net margins near 9%, a unknown competitive moat, backed by a 12% return on equity.
Levels that matter
At $199.46 the shares sit 20% below the 52-week high of $248.90 and 20% above the low of $166.10 (40% of the way up the range).
The valuation lens
The shares trade close to our fair-value estimate (-8% margin of safety): fairly priced, little cushion for a miss. Fair value lands near $183 against a $199.46 share price, a margin of safety of about -8%. The trailing multiple sits around 9 times earnings, which only makes sense if the growth holds.
The ethical lens, our differentiator
Fails the principled screen, Debt ratio 41.4%. A strong business is not the same as a suitable one; for a values-conscious book this is a do-not-chase regardless of the print.
The compliant alternative
If the theme is what draws you, Mercedes-Benz Group (MBG.DE) sits in the same industry (Auto Manufacturers) and clears our principled screen, the place to look instead of chasing a name that does not.
The verdict for a values-conscious investor
A beat-and-raise does not change the screen. This is a great company you can admire without owning, protection first. One quarter, strong or soft, does not decide whether a holding is suitable.
This is analysis, not financial advice. Always manage your risk.
