Earnings Season Playbook: Analyzing Quarterly Reports with Screeners

Introduction

Earnings season is the recurring period when public companies release quarterly financial results and management commentary. It matters because results and guidance move prices quickly, and you need a repeatable way to separate meaningful reports from noise.

How do you quickly triage dozens of earnings reports each week without getting blindsided by a single headline? This article shows how to build and use screeners to flag the reports that deserve your attention, so you can spend your time on the highest-conviction reads.

You will learn what to include in a screener, how to prioritize beats and misses, practical filter examples using real tickers, and common mistakes to avoid. By the end you should have a clear checklist to run every earnings season.

• Use a screener to reduce a week of reports to a short watchlist of high-impact names.
• Key filters include EPS surprise, revenue surprise, revenue growth, guidance bias, and analyst revisions.
• Combine quantitative filters with quick qualitative checks such as call tone, segment detail, and one-off items.
• Prioritize reports from companies with high ownership, high volatility, or event-driven catalysts like product launches.
• Build three screener modes: rapid triage, deep-dive candidates, and risk-management alerts.

Why screeners are essential during earnings season

Each quarter hundreds of companies release results over several weeks. You can't read every 8-K and transcript in detail. A screener automates the first pass and highlights results that diverge from consensus.

Screeners help you focus on what moves markets: surprises and forward guidance. They also let you standardize your process so your decisions are repeatable rather than emotional.

What a good screener accomplishes

A good screener flags companies that beat or miss consensus by meaningful amounts. It also surfaces names with strong top-line momentum or deteriorating margins. Finally, it should identify guidance changes and sharp analyst revisions.

In practice you want a screener to produce a manageable list, often 10 to 30 names per week, depending on how wide your universe is.

Core screener filters and why they matter

Not all filters are equally useful for earnings season. Use filters that directly map to market reaction and fundamentals. Below are the core filters and how to set practical thresholds.

1) EPS surprise and revenue surprise

EPS surprise is how reported earnings per share compare with consensus estimates. Revenue surprise measures the same for sales. Both are immediate market drivers because they signal whether a company is executing to expectations.

1. EPS surprise threshold, example: greater than +5% for beats, less than -5% for misses.
2. Revenue surprise threshold, example: greater than +2% for beats, less than -2% for misses.

Use both filters together, because an EPS beat on cost cuts with weak revenue is a different story than a beat driven by revenue growth.

2) Revenue growth and trend

Revenue growth shows whether the business is expanding. Compare year-over-year and sequential quarter growth to detect momentum. For a growth name, look for >15% year-over-year sales growth. In value or cyclical stocks, smaller thresholds are common.

Also screen for accelerating or decelerating growth. A company reporting 10% year-over-year growth but accelerating from 2% the prior quarter is a different signal than one slowing from 20% to 10%.

3) Guidance and management commentary

Guidance changes often matter more than a single quarter's EPS. Screen for companies that issued upward or downward guidance. Flag language like lower-than-expected visibility or one-time charges that affect comparability.

If your screener supports text flags, search earnings releases and conference call transcripts for words such as guidance, outlook, headwinds, tailwinds, and restructuring.

4) Analyst revisions and upgrades/downgrades

Large analyst estimate revisions, either before or immediately after an earnings release, can signal changing expectations. Filter for significant upward or downward revisions in the last 30 days.

Also track consensus movement. If EPS consensus shifts by more than 10% over the prior month, include that company for review.

5) Volatility and liquidity

Stocks with high implied volatility or low liquidity behave differently around earnings. Screen for average daily volume and implied volatility to prioritize names where price action is tradable.

For example, limit candidates to names with average daily volume above 500,000 shares, or implied volatility in the top decile, depending on your strategy.

Practical screener setups you can use

Below are three starter screener templates. Tailor the thresholds to your time horizon and risk tolerance. Each template assumes you can filter by EPS surprise, revenue surprise, revenue growth, guidance, analyst revisions, and volume.

Template A: Rapid triage (60–90 seconds per week)

• Universe: S&P 500, large-cap growth, or custom watchlist.
• Filters: EPS surprise > +5% or < -5%, revenue surprise > +2% or < -2%.
• Output: 10 to 30 names for a quick read of releases and headlines.

This mode gets you to the highest-probability market movers fast. Use it first thing each earnings day and skim the press releases and key metrics.

Template B: Deep-dive candidates

• Universe: Names flagged by rapid triage plus mid-cap names you follow.
• Filters: EPS surprise > +5% and revenue growth > 15% year-over-year, or EPS surprise < -5% with guidance cut.
• Additional filters: Analyst revisions > +10% or < -10% in last 30 days, and average daily volume > 250k.

Use this list to read transcripts, segment revenue tables, and reconcile non-GAAP adjustments. This is where you form a conviction for a position or hedge.

Template C: Risk-management alerts

• Universe: Your portfolio and watchlist.
• Filters: Guidance cut, margin compression greater than 200 basis points, or insider selling spikes around the release.
• Action: Trigger pre-defined rules such as reducing exposure, tightening stops, or entering a hedging trade.

These alerts protect your portfolio from surprise deterioration. They are about managing downside risk, not chasing moves.

How to read a flagged report: a quick checklist

When a screener flags a company, use a consistent checklist so you can make decisions quickly. A 6-item checklist is often enough for a rapid read.

1. Confirm the numbers: EPS, revenue, and any major one-time items.
2. Check guidance: Is management revising the next quarter or full year view?
3. Look for analyst reaction: Are estimates being revised and what is the consensus change?
4. Read the tone: Is management confident, cautious, or evasive on the call?
5. Verify comparability: Are non-GAAP adjustments or accounting changes affecting the result?
6. Assess market context: Is this stock in a crowded trade or does it have event-driven catalysts?

For example, imagine your screener flags $AAPL for a small revenue beat but a soft services outlook. You would verify the services guidance, read the call excerpt on services, check if analysts lower estimates, and then decide if the reaction is an opportunity or a risk to avoid.

Real-world examples and sample workflows

Below are two illustrative workflows using public tickers. The numbers are examples for clarity and not historical claims.

Example 1, tech growth name: $MSFT

Your rapid triage flags $MSFT for a revenue beat of 4% and EPS beat of 7%. The screener also notes guidance raised for cloud revenue. You move to deep-dive mode and check analyst revisions, which are up 6% over 30 days. The transcript emphasizes enterprise demand. With that confirmation you decide to add $MSFT to your watchlist for further technical entry points.

Example 2, cyclical name: $CAT

A mid-cap industrial is flagged for an EPS miss and a guidance cut. The screener shows margin compression of 250 basis points. You run the risk-management template against your portfolio and see you hold a position. After reading the call you find the company cites supply chain disruptions and slower backlog conversion. You reduce exposure and set a stop until the company proves improvement.

Integrating qualitative checks without losing speed

Quant filters get you to the right names. Qualitative checks tell you whether a beat or miss is durable. Focus on three quick qualitative signals: management tone, revenue quality by segment, and one-time items.

For instance, if a company reports an EPS beat from cost cuts while revenue declines, ask whether cost reductions are sustainable. Read two to three transcript excerpts focused on guidance and product mix. This usually takes five to ten minutes per deep-dive name.

Common Mistakes to Avoid

• Chasing every beat: Not every EPS beat implies a sustained improvement, especially if revenue is weak. How to avoid it: require both EPS and revenue context before increasing exposure.
• Ignoring guidance: Focusing only on historical beats can miss forward-looking risks. How to avoid it: prioritize guidance changes and management tone in your screener.
• Overweighting headline numbers: Non-GAAP adjustments and one-offs can distort comparisons. How to avoid it: reconcile non-GAAP items with GAAP and check analyst notes.
• Using too many filters at once: Excessive filtering can hide important names. How to avoid it: start broad with your rapid triage and refine to deep-dive lists.
• Failing to account for liquidity and volatility: Thinly traded names can gap on news and be hard to trade. How to avoid it: set minimum volume and implied volatility thresholds for tradable candidates.

FAQ

Q: How often should I run my earnings screener during season?

A: Run a rapid triage every morning during peak weeks and after major market hours when reports come out. Deep-dive and risk-management scans can be scheduled once per day or triggered by specific flags.

Q: Should I use consensus estimates from one provider or multiple?

A: Use a primary consensus source for consistency, but cross-check with at least one secondary source when a name is flagged as high priority. Differences in model coverage and rounding can matter for tight surprises.

Q: How do I handle companies that report non-GAAP figures heavily?

A: Reconcile non-GAAP to GAAP quickly by checking the reconciliation table in the press release. If the gap is large, pause and examine recurring vs one-time items before taking a position.

Q: Can screeners replace manual analysis entirely?

A: No, screeners are a force multiplier for prioritizing work. You still need manual checks for guidance, transcript tone, segment detail, and company-specific context before making trading or portfolio decisions.

Bottom Line

Screeners turn a chaotic earnings calendar into a structured workflow. Use a rapid triage to reduce volume, a deep-dive template for conviction building, and risk alerts to protect positions. At the end of the day, consistency and a short checklist will improve your decision-making and reduce reactive trading.

Next steps you can take: pick a screener platform, build the three templates described here, and backtest them against a recent quarter to tune thresholds. Over time you will refine the filters that matter most for your strategy and time horizon.