S&P 500 EPS While the Magnificent 7 are still expected to report strong earnings growth, the anticipated narrowing of the gap with the S&P 493 suggests a potential shift towards more diversified market performance. Image: Goldman Sachs Global Investment Research
Difference Between Realized and Consensus Estimate of S&P 500 EPS While S&P 500 companies continue to beat EPS estimates, indicating underlying strength, recent data suggests this trend is moderating compared to previous quarters Image: Goldman Sachs Global Investment Research
S&P 500 EPS Estimates ex-Tech and Communications The S&P 500’s earnings growth is heavily dependent on the technology sector, highlighting the crucial role that tech companies play in driving overall corporate profits in the United States. Image: Bloomberg
S&P 500 EPS and Long-Term Trend in Earnings While political and tax policy changes can have short-term effects, the overall trajectory of U.S. corporate profitability remains largely unaffected in the long run. Image: Deutsche Bank Asset Allocation
S&P 500 EPS – Potential U.S. Tax Impact on Earnings Per Share Donald Trump’s plan to cut the U.S. corporate tax rate from 21% to 15% could significantly impact S&P 500 earnings per share, potentially increasing EPS by 4% and improving profitability for many companies in the index. Image: BofA US Equity & Quant Strategy
S&P 500 EPS Growth Consensus estimates suggest that 72% of S&P 500 companies are projected to report EPS growth in 3Q24, reflecting a broader trend of improving earnings outlooks across various sectors. Image: BofA US Equity & Quant Strategy
U.S. GDP vs. S&P 500 EPS U.S. GDP and S&P 500 EPS are significantly correlated. High valuations and optimistic earnings forecasts mean a GDP slowdown could greatly affect corporate earnings, highlighting the need for cautious investment strategies in the future. Image: Real Investment Advice
S&P 500 EPS Beat Although beating EPS estimates is generally viewed favorably, consumer discretionary stocks haven’t shown substantial positive movement the day after the release of better-than-expected earnings. Image: Goldman Sachs Global Investment Research
S&P 500 EPS and Index Level Forecasts Over time, stock prices are driven by earnings. According to Goldman Sachs, the S&P 500 is expected to see earnings per share growth of 8% in 2024 and 6% in 2025. Image: Goldman Sachs Global Investment Research
Bottom-Up Consensus S&P 500 EPS Estimates Goldman Sachs expects the S&P 500 to see stronger earnings growth in the second half of 2024, driven by resilient economic conditions and sales growth. Image: Goldman Sachs Global Investment Research
U.S. ISM Manufacturing PMI vs. S&P 500 EPS Growth A rise in the U.S. ISM manufacturing PMI is suggesting positive growth in 1Q EPS, with expectations of outperforming the initial projections. Image: BofA US Equity & Quant Strategy