‘Greedflation’ Is Real—and Probably Good for the Economy

Big companies beat Wall Street expectations in Q1 earnings, using inflation as an excuse to protect margins and increase prices. Profit margins should be a key focus for investors this year.

May 25, 2023 . 4:58 PM

1 min read

Big companies' Q1 earnings beat Wall Street expectations, with Stoxx Europe 600 earnings-per-share jumping 18%.
Companies seem to be using inflation as an excuse to increase prices and protect margins.
Ralph Lauren increased the average price of its items by 12%, leading to a 7% jump in shares.
Consumer-goods multinationals like Procter & Gamble, Unilever and Nestlé raised prices 10%.
Profit margins should be a key focus of equity investors this year.