The backtest results for LOW following earnings beats show a moderate short-term positive response, with a 50% win rate over 3 days and a 64.29% win rate over 10 days, yielding small positive returns of 0.27% and 0.55% respectively. However, the 30-day win rate drops to 35.71%, with a slight negative return of -0.20%, indicating limited sustained gains. This suggests that while initial reactions to earnings beats are somewhat favorable, the longer-term performance is less reliable. Investors might consider short-term trades post-earnings beat but remain cautious about holding beyond 10 days.

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The backtest results show that LOW consistently achieved a 100% win rate across 3-day, 10-day, and 30-day periods following an earnings miss, with returns of 5.49%, 4.92%, and 7.20% respectively. This indicates a strong positive price reaction despite the earnings disappointment, suggesting market resilience or other favorable factors at play. Investors might consider that LOW presents a unique opportunity to gain from price rebounds after earnings misses, highlighting the potential benefit of a contrarian investment approach in this case.

The backtest results show that the Specialty Retail Industry experienced no significant impact following earnings beats, with a maximum return of only 1.05% observed on day 9. This indicates that earnings beats in this sector do not translate into meaningful price movements over the tested period.

The lack of notable response suggests that other factors may drive stock performance in Specialty Retail, diminishing the predictive value of earnings beats alone.

Investors should be cautious about relying on earnings beats as a signal for trading opportunities within the Specialty Retail Industry.

The backtest results show that the Specialty Retail Industry experienced virtually no impact following earnings misses, with a maximum return of only 0.01% over the observed period. This negligible response suggests that earnings misses in this sector do not significantly influence stock performance. Consequently, investors might consider that earnings misses in Specialty Retail are not a reliable indicator for short- or medium-term trading decisions, and other factors should be prioritized when evaluating investment opportunities in this industry.

Backtest LOW Earnings Beat and Miss Expectations

Find all upcoming company earnings reports scheduled for feb 25 2026. Get details on which companies are reporting and their expected results.

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