Cheap on earnings. Has the stock recovered?
Earnings vs. Price: Recovery Watch is YieldTerminal Pro's weekly series examining the gap between an improving business and an improving stock price.
We check reported earnings, valuation assumptions and price behavior separately. A low P/E alone cannot establish a turnaround.
Latest edition — week ended October 2, 2026
Adobe vs. Qualcomm: Earnings Growth Is Not a Turnaround.
Adobe's earnings grew while its price weakened. QCOM's earnings weakened while its chart began repairing. Both stocks use the same trailing adjusted P/E calculation based on results known at each date.
The charts separate QCOM's 41% closing-price selloff from its subsequent 25% rebound. Adobe shows why earnings growth and a lower multiple can coexist with a weak price trend. Company-defined adjustments and fiscal periods still differ; this is not a ranking of investment value.
What we check each week
| Question | Evidence |
|---|---|
| Are earnings improving? | Reported results, cash generation, share counts and the difference between reported and adjusted figures. |
| What does the valuation assume? | Consistently defined trailing multiples, or dated forecasts with matching horizons when comparing forward multiples. |
| Is price repairing? | Higher lows, recovered ranges, trend behavior and performance relative to a stated benchmark. |
| What changed since the prior edition? | Separate fresh earnings, new estimates and price moves; show setbacks as well as recoveries. |
These observations can develop in different orders. They are not a validated trading system, and an improving chart can fail. Historical “cheapest ever” claims require a consistent dated history.
Edition archive
New dated editions will be added here while earlier published editions remain available.
Educational commentary. Each edition states its price cutoff, earnings basis, sources and limitations.