Earnings season is a focal point for fundamental and quantitative investors. Alternative data is often used to set expectations, validate or challenge consensus, and interpret results. Not every dataset is equally useful around earnings, and misuse can add noise rather than signal. This post outlines how alternative data is used around earnings and what tends to help in practice.
Where alternative data fits in the earnings process
Pre-earnings: setting expectations. Demand signals (search, e-commerce, app or web traffic) can inform revenue or unit expectations for consumer, retail, and digita