Daily Markets: Earnings Season Kicks Off

Daily Markets: Earnings Season Kicks Off

Today kicks off December quarter earnings season with earnings for the S&P 500 expected to have declined by 2% in the December quarter according to FactSet. If earnings do in fact contract during the December quarter, it will be the fourth consecutive quarter of year-over-year net income declines for the S&P 500. Despite this, the index managed to make yet another new high as investors begin to focus on EPS growth prospects for the coming year; per FactSet the S&P 500 group of companies are expected to grow their collective EPS by 9.5% growth YoY in 2020. That rebound is expected to be led by the 4.7% YoY growth in earnings for the S&P 500 in the current quarter and strengthen throughout the year.  

We’d note the S&P 500 is trading at a P/E ratio of…

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About the Author

Lenore Hawkins & Chris Versace
Lenore Hawkins serves as the Chief Macro Strategist for Tematica Research. With over 20 years of experience in finance, strategic planning, risk management, asset valuation and operations optimization, her focus is primarily on macroeconomic influences and identification of those long-term themes that create investing headwinds or tailwinds. Chris Versace is Tematica's Chief Investment Officer and editor of Tematica Investing newsletter. All of that capitalizes on his near 20 years in the investment industry, nearly all of it breaking down industries and recommending stocks.

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