S&P 500 Bull Case Strengthens on 52% Q2 Earnings Growth as 86% Beat Estimates
Updated
Updated · Yahoo Finance · Aug 31
S&P 500 Bull Case Strengthens on 52% Q2 Earnings Growth as 86% Beat Estimates
3 articles · Updated · Yahoo Finance · Aug 31
Summary
Rising profit forecasts and fewer analyst estimate cuts are emerging as the next potential catalyst for stocks after a summer rally to record highs.
FactSet data show about 86% of S&P 500 companies beat EPS estimates, above the five-year 78% average, while reported earnings are running 26.5% above forecasts.
Second-quarter earnings growth stands at 52%, which would be the index's fastest pace since Q2 2021 if the final figure holds.
Evercore and Goldman strategists said estimates are improving across sales, earnings and free cash flow, though they flagged oil above $100 a barrel and a hawkish Fed under Kevin Warsh as key risks.