EDITOR'S NOTE
The earnings reports keep rolling in and the market is barely budging.
So far, 124 S&P 500 companies have reported, and on a market cap-adjusted basis they represent 29% of the index.
Refinitiv crunched the incoming reports and blended them with the estimates of companies yet to report. The results show the "blended" earnings per share of the S&P 500 will be down 2.9% but the "blended" revenues will be up 3.2%.
The energy sector is driving much of the overall earnings decline with a 39.1% drop in blended earnings. Excluding energy, the blended earnings of the S&P 500 are only down 0.5%.
We all know that companies manage earnings expectations with the analysts who cover them, and this effort has been more of a challenge with third-quarter numbers. On average, earnings have come in 3.7% above estimates. Over the past four quarters, by contrast, they've come in 5.3% higher.
Stocks were slightly higher on Wednesday with 40 S&P 500 companies reporting earnings.
Thursday will be the biggest day of the earnings season with 45 companies reporting, including 3M, Amazon, American Airlines and Visa.
Stock indexes have remained just below record highs throughout the earnings season. So far, there hasn't been a report surprising enough to push them over. We'll see if Amazon can do the trick.
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Rabu, 23 Oktober 2019
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