In “The State of the Market After Wednesday’s Historic Face Ripper” (Wednesday April 9, Top Gun Financial), I argued that it was a mistake to view that day’s action as an “all clear” signal because the market had been struggling even before Trump’s disastrous Liberation Day tariffs. Three earnings reports over the next two days may give us insight into whether the market is still on a downward trajectory.

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The first one is on Wednesday morning from $94 billion Prologis (PLD), the leading logistics REIT in the country. PLD leases space to companies like Amazon, Home Depot, Walmart, Federal Express and UPS for use in the transportation of goods across the global economy. PLD got hit hard in the wake of Trump’s tariff announcements and it will be interesting to hear what they are seeing with their wide vantage point of the global economy.

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On Thursday morning the largest publicly traded homebuilder in the country, $40 billion D.R. Horton (DHI), reports earnings for the quarter ended March 31, 2025. We already saw some signs of weakness when KB Homes (KBH) and Lennar (LEN) reported their quarters ended February 28, 2025. It will be interesting to see whether things have continued to deteriorate over the last month.

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Lastly, Netflix (NFLX) reports earnings after the close on Thursday. While NFLX won’t give us any economic tells, I am curious to see whether its high valuation (> 40x 2025 EPS) dampens the reaction to its earnings report. NFLX stock has held up among the best of all significant publicly traded stocks. We’ll see if that sets too high of a bar.

The market is closed Friday April 18 for Good Friday.

More By This Author:

The State Of The Market After Wednesday’s Historic Face Ripper
Trump’s Colossal Blunder
Weighing The Case For A Recession – And Why It Matters