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EPS Growth

Mar 08 2019

So Long Tax Cuts… We Hardly Knew Ye

  • Mar 8, 2019

Our earnings waterfall analysis for the fourth quarter tells a story consistent with the entirety of 2018: earnings growth was fantastic, boosted by the twin drivers of strong sales growth and a lower corporate tax rate. Chart 1 spotlights the quarter’s tally, which produced a healthy sales growth number despite some economic weakening.

Mar 07 2019

Once In A Lifetime?

  • Mar 7, 2019

To paraphrase a talking head and the Talking Heads, someday you might find yourself in a beautiful deleveraging, with beautiful valuations, and you may ask yourself, well, how did I get here?  

Feb 15 2019

2019 Earnings: Don't Bet On 6%

  • Feb 15, 2019

Currently, the collective intelligence of Wall Street is predicting 6% S&P 500 EPS growth in 2019. It’s also the 61-year average annual growth rate for the index, so how wrong could it be?

Sep 21 2018

Second Quarter Earnings Waterfall

  • Sep 21, 2018

The S&P 500 reported blockbuster earnings growth again in the second quarter of 2018. With the corporate tax cut boosting profits this year, we were curious to know how much of the improvement was tax driven and how much was due to the exceptionally strong economy.

May 11 2018

Attention Shoppers: Contrarian Plays In Aisle 3

  • May 11, 2018

The 2017 run that pushed the nine-year bull market to all-time highs made it very difficult to find anything that looked cheap, and few choices that looked average. Even the Tech bubble of 1999 allowed investors to find moderately priced stocks among the mundane old-economy companies...

Jun 07 2017

Emerging Markets: Fundamental Diffusion Indicators

  • Jun 7, 2017

Within EM, more robust growth is being exhibited by: 1) firms in Emerging Europe; 2) companies in Energy, Materials, and Financials; and, 3) larger cap companies.

Nov 05 2016

Four Thousand Companies Can’t Be Wrong!

  • Nov 5, 2016

Scott Opsal’s “Chart of the Week” in mid-October suggested the seven-quarter S&P 500 earnings recession may have run its course.

Jul 08 2016

Recession Watch

  • Jul 8, 2016

While we don’t see a U.S. recession on a one-year horizon, there are a handful of indicators that may force us to revisit that view—including the two relatively obscure data series shown below.

Jun 05 2015

Searching For Growth In Emerging Markets

  • Jun 5, 2015

Even though the ten EM sectors are growing at a much stronger pace than corresponding U.S. sectors on the Top-Line, only a small margin exceed the U.S. in terms of EPS growth.

Apr 07 2014

Sector Characteristics of the S&P Indicies

  • Apr 7, 2014

Important characteristics of the broad sectors of the S&P 500 along with the S&P Mid Cap and Small Cap indices.

Nov 05 2011

A Graphically-Oriented Overview Of Q3 Earnings Developments

  • Nov 5, 2011

So far so good, as sales and earnings numbers reported have been better than expected. Eric Weigel explores newly emerging trends from a number of angles and makes some cautious inferences.

Jan 04 2010

A Global Perspective On Investor Preference For Top-Line Growth Or Bottom-Line Growth

  • Jan 4, 2010

A look at how the market reveals its preference for the top-line growth (revenue growth) vs. the bottom-line growth (EPS growth).

Mar 04 2009

Disecting The Capital Indices

  • Mar 4, 2009

Identifying and comparing important characteristics of the broad sectors of the S&P 500.

Mar 05 2006

Earnings Momentum Excluding Energy: Energy’s Boost To Become A Drag?

  • Mar 5, 2006

Energy sector earnings growth has helped keep overall S&P earnings advancing at a relatively strong rate. Growth would be about 9% to 10% below reported growth if Energy stocks were excluded.

Dec 04 2005

Assessing The Cycle….Putting Today’s Growth Into A Historical Context

  • Dec 4, 2005

Within the current cycle, the stock market recovery is mature, but based on the average post WWII recovery could still have some upside (S&P 500 to 1400?). Currently, earnings growth is well beyond historical averages, but the economic expansion is below the norm.

Aug 04 2004

Sector Spotlight: Health Care Watch

  • Aug 4, 2004

The near term is becoming more uncertain for Health Care stocks, as HC groups have experienced an erosion in GS Score strength.

Apr 05 2004

Earnings By Sector - Looking For EPS Growth In 2004

  • Apr 5, 2004

ComparIng earnings growth and estimates from Q1 2004 to those at the end of 2003.

Mar 03 2004

Earnings By Sector - Looking For EPS Growth In 2004

  • Mar 3, 2004

Earnings momentum still strong. Q4 reported S&P 500 earnings came in stronger than expected and 2004 estimates boosted to $60.00 (up 22%) after recording a 78% increase in 2003.