Backtest
The backtest results indicate that EBF achieves a 66.67% win rate with an average 2.20% return over 30 days after earnings beats, despite weaker short-term returns. This delayed positive reaction contrasts with the Commercial Services & Supplies Industry, which shows no significant gains post-earnings beats. Therefore, while the industry overall does not benefit meaningfully, EBF’s performance suggests that investors may gain by adopting a medium-term bullish approach and holding the stock beyond the immediate aftermath of earnings beats.
