Fact checker wrote:
Ghost of Igloi wrote:
Earnings Scorecard: For Q4 2018 (with 11% of the companies in the S&P 500 reporting actual results for the quarter), 76% of S&P 500 companies have reported a positive EPS surprise and 56% have reported a positive revenue surprise.
“When we get to the end of 2019 and we actually get estimates to where earnings should be by the end of 2019, the entire benefit of the tax cut will be erased because of the decline trend in earnings. So despite the fact that the tax cut in December of 2017 was touted as one of the greatest things for corporations ever -- it was supposed to result in a massive boost to earnings -- but ever since then, earnings have been on the decline. That's why the market didn't even respond last year to these tax cuts. Because, at the end of the day, we're not creating more revenue at the top line. Instead, we're eroding bottom line profitability.
The earnings growth rate has been in double digits for the last 5 quarters.
Earnings Growth: For Q4 2018, the blended earnings growth rate for the S&P 500 is 10.9%. If 10.9% is the actual growth rate for the quarter, it will mark the fifth straight quarter of double-digit earnings growth for the index.