Earnings Are Expected to Decline for Q3

Q3 earnings season begins this week. Wall Street expects the S&P 500 to earn $40.73 per share. That’s down from $44.28 at the start of the year.

If the current estimate is right, then it would be a decline of 1.6%. This could be the first quarterly earnings decline in three years. Reported results usually beat expectations by a few percentage points, so there’s a good chance we may miss a quarterly decline.

For 2019, Wall Street expects the S&P 500 to earn $161.03 per share. That’s down more than $10 per share since the start of the year.

For next year, Wall Street expects earnings of $179.83. Based on Friday’s close, the S&P 500 is currently going for 16.4 times the earnings estimate for 2020.

Posted by on October 7th, 2019 at 11:15 am


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