{"id":7549,"date":"2018-02-09T20:50:53","date_gmt":"2018-02-09T20:50:53","guid":{"rendered":"https:\/\/fundamentalis.com\/?p=7549"},"modified":"2018-02-09T21:11:25","modified_gmt":"2018-02-09T21:11:25","slug":"sp-500-earnings-yield-jumps-to-6-1-forward-growth-rate-to-20","status":"publish","type":"post","link":"https:\/\/fundamentalis.com\/?p=7549","title":{"rendered":"SP 500 &#8220;Earnings Yield&#8221; Jumps to 6.1% \/ Forward Growth Rate to 20%"},"content":{"rendered":"<p>Given the market action this week, i wondered if Street analysts would pull in their bullishness on forward SP 500 estimates and that absolutely didn&#8217;t happen.<\/p>\n<p>Here is the Thomson Reuters data by the numbers:<\/p>\n<ul>\n<li><em><strong>Fwd 4-qtr est:<\/strong><\/em> $157.28<\/li>\n<li><em><strong>P.E ratio:<\/strong> <\/em>16.4x<\/li>\n<li><em><strong>PEG ratio:<\/strong><\/em> 0.84x<\/li>\n<li><em><strong>SP 500 earnings yield:<\/strong><\/em> 6.1% vs last week&#8217;s 5.62%<\/li>\n<li><em><strong>Year-over-year growth of fwd estimate:<\/strong><\/em> +19.6%, probably the highest since the late 1990&#8217;s when Tech was growing 35% &#8211; 40% per quarter<\/li>\n<\/ul>\n<p>The SP 500 earnings yield has jumped because the forward estimate (numerator) rose this week, while the SP 500 (denominator) fell.<\/p>\n<p>The SP 500 earnings yield is now at its highest print since the China devaluation and crude oil correction ended in February &#8217;16.<\/p>\n<p>The year-over-year growth rate of the forward estimate is now the highest since &#8211; what i think is &#8211; the late 1990&#8217;s although I didnt start following the data until the early 2000&#8217;s.<\/p>\n<p>This SP 500 earnings data is very, very strong, there is little doubt about it.<\/p>\n<p>I&#8217;ve never seen this kind of consistent upward revisions to weekly data like this and I&#8217;ve been tracking the data for 15 &#8211; 18 years.<\/p>\n<p>The fly in the ointment this year will be how fast interest rates rise but given earnings data, eventually stock prices will push higher.<\/p>\n<p>Thanks for reading.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Given the market action this week, i wondered if Street analysts would pull in their bullishness on forward SP 500&hellip;<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[190,91],"tags":[],"class_list":["post-7549","post","type-post","status-publish","format-standard","hentry","category-10-year-treasury-yield","category-weekly-earnings-update"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"post_mailing_queue_ids":[],"_links":{"self":[{"href":"https:\/\/fundamentalis.com\/index.php?rest_route=\/wp\/v2\/posts\/7549","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/fundamentalis.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fundamentalis.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fundamentalis.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/fundamentalis.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7549"}],"version-history":[{"count":3,"href":"https:\/\/fundamentalis.com\/index.php?rest_route=\/wp\/v2\/posts\/7549\/revisions"}],"predecessor-version":[{"id":7552,"href":"https:\/\/fundamentalis.com\/index.php?rest_route=\/wp\/v2\/posts\/7549\/revisions\/7552"}],"wp:attachment":[{"href":"https:\/\/fundamentalis.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7549"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fundamentalis.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7549"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fundamentalis.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7549"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}