Visibility

AAA

DEFINITION of 'Visibility'

The extent to which future projections are probable. Visibility is commonly used in discussing a company's future earnings. A lack of earnings visibility can be a sign that low, or no earnings, are on the horizon. Factors that may contribute to a lack of earnings visibility include regulatory uncertainty, price volatility for production inputs and a weak economy.


Visibility can also refer to a company's presence in the marketplace. Basically, a dominant company would have much greater visibility than a small player.

INVESTOPEDIA EXPLAINS 'Visibility'

For example, you'll often hear CEOs in a conference call tell analysts that they have "low visibility" for the upcoming quarter. This means they have little to no idea what future earnings will be, and cannot offer any earnings guidance to analysts or investors.


For a new company to increase its market share, it will need to increase its visibility by implementing effective marketing strategies.

RELATED TERMS
  1. Earnings Per Share - EPS

    The portion of a company's profit allocated to each outstanding ...
  2. Earnings

    The amount of profit that a company produces during a specific ...
  3. Chief Executive Officer - CEO

    The highest ranking executive in a company whose main responsibilities ...
  4. Conference Call

    An event during which investors can call in to hear a company's ...
  5. Price-Earnings Ratio - P/E Ratio

    A valuation ratio of a company's current share price compared ...
  6. Bulldog Market

    A nickname for the foreign bond market of the United Kingdom. ...
Related Articles
  1. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats.
    Professionals

    What is a SWOT Analysis?

    SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. SWOT analysis is a management tool used to identify strategies for success. It may be used to guide individual thinking, group ...
  2. Active Trading

    Hard-To-Value Finisar Could Be In For Better Days (FNSR, JDSU, CSCO, CIEN)

    Finisar should be poised to benefit from a telecom spending recovery.
  3. Mutual Funds & ETFs

    Investor Fatigue Setting In?

    We’re in the midst of earnings season, and thus far the news is largely positive.
  4. Operating profit is the profit generated from the core business of a company before accounting for interest and taxes.
    Investing

    Operating Profit

    Operating profit is the profit generated from the core business of a company before accounting for interest and taxes.
  5. Investing Basics

    EBIT (Earnings Before Interest and Taxes)

    Earnings before interest and taxes, or EBIT, takes a company’s revenue, or earnings, and subtracts its cost of goods sold and operating expenses.
  6. Shares of the beleaguered retailer soared Wednesday after it told Wall Street that its holiday season would be its best in years.
    Stock Analysis

    Is There A Light At The End Of The Tunnel For J.C. Penney?

    Shares of the beleaguered retailer soared Wednesday after it told Wall Street that its holiday season would be its best in years. Unfortunately, it's not clear when it will profitable.
  7. Trading Strategies

    Navistar Is Terrible Today, But That May Not Be Relevant (NAV, CMI, PCAR, OSK)

    Navistar's current results are terrible, but the future is about the restructuring plan.
  8. Trading Strategies

    Oracle Shows More Strength Than Expected (ORCL, CRM, MSFT, CSCO)

    Oracle keeps delivering.
  9. Trading Strategies

    General Mills Still A Good News, Bad News Story (GIS, K, CPB, KRFT)

    General Mills is muddling along, but isn't a tremendous value today.
  10. Personal Finance

    Most Successful Movie Reboots

    These are movie ideas that just keep on giving at the box office.

You May Also Like

Hot Definitions
  1. Christmas Island Dollar

    The former currency of Christmas Island, an Australian island in the Indian Ocean that was discovered on December 25, 1643. ...
  2. Santa Claus Rally

    A surge in the price of stocks that often occurs in the week between Christmas and New Year's Day. There are numerous explanations ...
  3. Commodity

    1. A basic good used in commerce that is interchangeable with other commodities of the same type. Commodities are most often ...
  4. Deferred Revenue

    Advance payments or unearned revenue, recorded on the recipient's balance sheet as a liability, until the services have been ...
  5. Multinational Corporation - MNC

    A corporation that has its facilities and other assets in at least one country other than its home country. Such companies ...
  6. SWOT Analysis

    A tool that identifies the strengths, weaknesses, opportunities and threats of an organization. Specifically, SWOT is a basic, ...
Trading Center