What earnings recession?
Heading into the current first-quarter reporting season, earnings for S&P 500 (^GSPC) companies were expected to fall 3.9% year-over-year, the first quarterly decline since 2016, according to FactSet.
But with 46% of S&P 500 companies having reported first-quarter results as of Friday, earnings are expected to decline only 2.3% year-over-year. Plus 77% of companies that have reported so far this season have topped their earnings estimates, according to FactSet.
“Despite fears of an outright ‘earnings recession’ (two quarters of negative year-over-year earnings), actual results have exceeded consensus estimates by 4.3% thus far, well above the historical average beat rate of 3%,” wrote UBS analysts in a note to clients Monday. “Huge beats from mega-cap tech-related companies [Amazon (AMZN), Facebook (FB), Microsoft (MSFT)] have been the key positive drivers.”
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(Excerpt) Read more at finance.yahoo.com ...
If The Fed had not raised interest I bet this might have been closer to 5 or 6 percent!!!!!
Heading into the current first-quarter reporting season, earnings for S&P 500 (^GSPC) companies were expected to fall 3.9% year-over-year, the first quarterly decline since 2016, according to FactSet.
But with 46% of S&P 500 companies having reported first-quarter results as of Friday, earnings are expected to decline only 2.3% year-over-year. Plus 77% of companies that have reported so far this season have topped their earnings estimates, according to FactSet.
“Despite fears of an outright ‘earnings recession’ (two quarters of negative year-over-year earnings), actual results have exceeded consensus estimates by 4.3% thus far, well above the historical average beat rate of 3%,” wrote UBS analysts in a note to clients Monday. “Huge beats from mega-cap tech-related companies [Amazon (AMZN), Facebook (FB), Microsoft (MSFT)] have been the key positive drivers.”
snip
(Excerpt) Read more at finance.yahoo.com ...
If The Fed had not raised interest I bet this might have been closer to 5 or 6 percent!!!!!
