S&P 500 Quarterly YoY EPS Growth Relative to Consensus Expectations The Q3 earnings season demonstrated the resilience of large U.S. companies in the face of economic challenges, with particularly strong showings from the technology sector. Image: Goldman Sachs Global Investment Research
Consensus Estimates EPS Growth Consensus estimates project a 14% growth in S&P 500 earnings per share for 2025, indicating a continued positive trend in corporate profits. Image: Goldman Sachs Global Investment Research
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
EPS Growth – Political Party and S&P 500 Profits Cycle While election results can impact markets in the short term, the underlying profitability of companies is a stronger driver of stock prices over time. Image: BofA US Equity & US Quant Strategy
Global Composite PMI and EPS Growth The Global Composite PMI serves as a leading indicator for EPS growth, with its trends providing insights into future corporate earnings performance. Image: J.P. Morgan
Earnings – S&P 500 LTM EPS Growth YoY According to Morgan Stanley’s leading earnings indicator, the outlook for S&P 500 EPS over the next 12 months is positive, suggesting a potential rise in profitability. Image: Morgan Stanley 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
S&P 500 EPS Growth vs. Buyback Growth While EPS growth may be one factor influencing a company’s decision to repurchase its own shares, it is just one of many potential drivers of buyback activity. Image: Goldman Sachs Global Investment Research
Total Equity Fund Flows vs. S&P 500 EPS Growth Over the past 5 weeks, equity funds have seen inflows of $75 billion. The relationship between equity fund inflows and the growth in earnings of S&P 500 companies exhibits a discernible correlation. Image: Deutsche Bank Asset Allocation
U.S. Economic Growth vs. S&P 500 EPS Growth Economic growth is a driver of earnings growth, as it creates opportunities for businesses to expand their operations, increase sales, and generate higher profits. Image: Goldman Sachs Global Investment Research
S&P 500 EPS Growth Estimates Analysts still expect S&P 500 earnings to improve going forward. Image: Goldman Sachs Global Investment Research