Growth of “Forward Estimate” Firmly over 10%; First Time in a Long Time

Thomson Reuters data by the numbers:

Fwd 4-qtr est:$142.45 vs last week’s $142.30

P.E ratio: 18.3x

PEG ratio: 1.7x

SP 500 earnings yield: 5.47% vs 5.52% last week

Year-over-year growth of fwd estimate: +10.8% vs last week’s 10.78%

Source: This Week in Earnings, Thomson Reuters I/B/E/S dated 11/24/17

Last night a quick primer on the “SP 500 earnings yield”, generated some reader comments, so it needs to be flushed out a little more.

For this weekend, the “year-over-year growth of the forward estimate” continues to stand out: this week’s +10.8% was the 6th sequential increase in the last 7 weeks, and the metric is now firmly over 10%, a level it has struggled to reach for post-2008.

The earnings data continues to look good.

More to come over the weekend – thanks for reading.

 

 

 

 

 

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