Earnings Line Pro - EPS Tracker [LevelUp]

Earnings Line Pro plots quarterly earnings data, including earnings surprises and estimates, while also highlighting earnings acceleration. It allows you to track and visualize the trend of earnings across daily, weekly, and monthly timeframes.

🔹—— Key Features ——🔹

▪ Quarterly earnings per share, surprises and estimates.
▪ View earnings based on type: reported (non-GAAP), basic or diluted.
▪ Visualize the estimated trajectory of the next quarter earnings estimate.
▪ Year-Over-Year (YOY) data is included for each quarterly earnings summary.
▪ Visualize earnings acceleration, quarter over quarter.
▪ Plot on daily, weekly and monthly timeframes.

🔹—— Earnings Data ——🔹

Earnings are a foundational concept in stock analysis, often exerting a significant influence on a company's long-term performance. By visualizing earnings data as a plot rather than just a table of statistics, investors can more easily spot patterns of acceleration or deceleration. For instance, a steep upward slope between earnings releases — or a sequence of progressively higher earnings — signals a robust earnings trajectory. The sharper the acceleration, the greater the likelihood that the stock will outperform the broader market.

Historical studies show that top-performing companies consistently deliver steady earnings growth. Whether your focus is short-term trading or long-term investing, recognizing the direction and rate of earnings growth is essential for evaluating potential price movement.

While quarterly earnings data remains consistent across all timeframes, the perspective shifts depending on your goals. A monthly chart highlights multi-year growth and is ideal for investors with a buy-and-hold mindset. In contrast, weekly or daily charts have fewer data points, making them better suited for traders focused on positions lasting weeks or months.

🔹—— Choose Earnings Type ——🔹

With the Earnings Line indicator, you can view reported (non-GAAP), basic and/or diluted earnings.

▪ Reported (non-GAAP) earnings typically refer to a company’s net income as disclosed in its financial statements. This figure represents overall profitability after accounting for all expenses, taxes, and adjustments.

▪ Basic earnings per share (EPS) is calculated by dividing net income by the weighted average number of common shares outstanding during the reporting period. It provides a straightforward measure of earnings attributable to each existing share.

▪ Diluted earnings per share (EPS) goes a step further by incorporating the potential impact of additional shares from convertible securities, stock options, or warrants. This presents a more conservative, “what-if” scenario that assumes all possible dilution has occurred.

Reviewing these various types is important as they provide a bigger picture view of company performance: reported earnings show overall profitability, basic EPS reflects earnings per existing share, and diluted EPS highlights the potential impact of share dilution.

In the Settings dialog, select your preference on the earnings type. Check the box "Show Data For All Earnings Types" to view all types when hovering over an earnings data point.



🔹—— Year-Over-Year Data ——🔹

Viewing year-over-year (YOY) data for earnings is essential because it provides a clear picture of a company's growth trajectory by comparing current earnings to the same period in the prior year, helping to identify sustainable trends rather than short-term anomalies.

This metric helps eliminate seasonal fluctuations, offering a more accurate assessment of operational performance and efficiency improvements over time. Additionally, consistent YOY earnings growth can signal a company's competitive strength and potential for stock price appreciation, aiding in informed investment decisions.



🔹—— Earnings Acceleration ——🔹

Looking for earnings acceleration — where the rate of earnings growth is increasing — helps identify companies with strengthening momentum. This often reflects improving business operations, market expansion, or competitive advantages that can drive outsized returns. Viewing acceleration data can help you spot potential leaders early while avoiding stocks with flat or slowing earnings that may underperform the market.



🔹—— Visualize Earnings Estimate ——🔹

At a glance, view the next-quarter estimate to gauge the likely direction of the earnings trend. These forward-looking insights provide an early view of a company’s expected financial performance and can help anticipate potential stock price movements depending on whether actual results meet, exceed, or miss expectations.

The estimates — often based on analyst consensus — reflect market sentiment and can highlight both growth opportunities and risks.


🔹—— Plot Earnings Line On Main Chart ——🔹

By default, earnings data is plotted in a separate pane below the main chart. Follow the steps below to plot the earnings line on the main chart.

▪ Click on the indicator name on left side of the chart.
▪ Select the "..." option.
▪ Use the "Move-to" option to change the location of the earnings line.
▪ To hide the EPS scale on the left, select the "..." option.
▪ In "Pin to scale" select the "No scale (fullscreen)" option.


🔹—— Best Practices ——🔹

▪ Compare year-over-year, not just quarter-over-quarter as YOY changes help filter out seasonality.
▪ Positive surprises can spark strong price reactions, recurring surprises strengthen confidence.
▪ Look for divergence. If earnings accelerate but price lags, it may signal an early opportunity.
▪ Review daily, weekly, and quarterly charts to align short and long-term trends.
▪ Combine fundamentals with technicals, including volume analysis.
▪ Always define risk before entering a trade — know where you’ll exit.
▪ Size positions based on volatility and conviction, not emotion.
▪ Be patient — trends take time to develop.