Great expectations: US firms beat profit estimates at record rate
Al Jazeera
With results in from 110 of the S&P 500 companies as of Thursday, 85.5 percent have beaten analysts’ estimates for earnings per share, according to Refinitiv’s data.
While it’s still early in the earnings period, a record percentage of first-quarter profit reports from major United States companies are coming in above analysts’ expectations. Earnings are rebounding from last year’s pandemic-fuelled lows, but many companies were holding off on giving guidance, making it harder for analysts to estimate results for this year. Some strategists said stronger-than-expected earnings could help underpin the market even as valuations are considered expensive. With results in from 110 of the S&P 500 companies as of Thursday, 85.5 percent have beaten analysts’ estimates for earnings per share, according to Refinitiv’s data. If that trend continues through the reporting season, it would be the highest beat rate on record going back to 1994.More Related News