Earnings Scorecard: As of today (with 12% of the companies in the S&P 500 reporting actual results for Q4 2016), 61% of S&P 500 companies have beat the mean EPS estimate and 47% of S&P 500 companies have beat the mean sales estimate.
• Earnings Growth: For Q4 2016, the blended earnings growth rate for the S&P 500 is 3.4%. If the index reports earnings growth for Q4, it will mark the first time the index has seen year-over-year growth in earnings for two consecutive quarters since Q4 2014 and Q1 2015.
• Earnings Revisions: On December 31, the estimated earnings growth rate for Q4 2016 was 3.0%. Six of the eleven sectors have higher growth rates today (compared to December 31) due to upside earnings surprises and upward revisions to earnings estimates, led by the Financials sector.
• Earnings Guidance: For Q1 2017, 3 S&P 500 companies have issued negative EPS guidance and 6 S&P 500 companies have issued positive EPS guidance.
• Valuation: The forward 12-month P/E ratio for the S&P 500 is 16.9. This P/E ratio is based on Thursday’s closing price (2263.69) and forward 12-month EPS estimate ($133.84).
Source : Factset.com
