S&P 500 profits forecast climbs to $373 per share
The S&P 500 is experiencing an earnings boom, with Wall Street’s forecast for profits over the next year climbing to about $373 per share.
This represents a 32% increase from a year ago, a rare occurrence since 1990.
The growth is unusual as it was not preceded by a significant decline in earnings estimates, unlike the periods following the financial crisis and pandemic.
The forward price-to-earnings ratio has been affected, with the market resetting through stock prices instead of collapsing profits.