Take restaurants, which still continue to report choppy sales. On Tuesday, Bloomin' Brands—owners of Outback Steakhouse, Carabbas Italian, Flemings Prime Steakhouse—missed on earnings and lowered its outlook as well. CEO Elizabeth Smith said that "dinner traffic did not recover as expected following the weather events of the first quarter."
Then there are firms that are just minting money. Have you tried to rent a car this summer? The exact phenomenon is happening in airlines: prices are up in both. Thank you, Avis Budget, which beat on top and bottom lines and raised full year guidance and expects record results in the third quarter. The stock's price and trading volumes are up in early trading.
Then there are stores with image problems, like Coach, which reported earnings above expectations amid what many analysts call a fading brand. The company is now emphasizing its "brand transformation," and they will need it. North American same store sales were down 17 percent year over year, an improvement over the 21 percent decline in the prior quarter, yet China sales, however, were up 20 percent.