Raising 2018 Earnings Forecasts
Fourth quarter earnings season has been outstanding. As good as it has been, perhaps most impressive is the strong guidance corporate America has provided. In response, we have raised our S&P 500 Index earnings forecast for 2018 and our S&P 500 year-end fair value target proportionately. Our revised year-end S&P 500 fair value range of 2950–3000, approximately 7–9% above Friday’s close, represents a 19.5 price-to-earnings (PE) ratio on $152.50 in earnings per share (EPS).
Strong Company Guidance
Fourth quarter earnings growth of over 15% reported by S&P 500 companies is outstanding, in our opi... Read more