Key Metrics
• Earnings Scorecard: For Q3 2017 (with 91% of the companies in the S&P 500 reporting actual results for the quarter), 74% of S&P 500 companies have reported positive EPS surprises and 66% have reported positive sales surprises.
• Earnings Growth: For Q3 2017, the blended earnings growth rate for the S&P 500 is 6.1%. Seven sectors are reporting or have reported earnings growth for the quarter, led by the Energy sector.
• Earnings Revisions: On September 30, the estimated earnings growth rate for Q3 2017 was 3.1%. Eight sectors have higher growth rates today (compared to September 30) due to upward revisions to earnings estimates and upside earnings surprises, led by the Energy, Information Technology, and Materials sectors.
• Earnings Guidance: For Q4 2017, 58 S&P 500 companies have issued negative EPS guidance and 28 S&P 500 companies have issued positive EPS guidance.
• Valuation: The forward 12-month P/E ratio for the S&P 500 is 18.0. This P/E ratio is above the 5-year average (15.7) and above the 10-year average (14.1).
