Data: FactSet; Chart: Axios Visuals
The outlook for corporate profits is looking better.
Why it matters: It's another reason the bulls of the market appear to have the bears on the run.
The big picture: Since the last round of earnings started arriving in mid-April, Wall Street analysts have been marking up their expectations for the profits that S&P 500 companies are likely to generate over the next year.
- In aggregate, analysts have upped their estimates by about 3%, to nearly $232 a share for the entire index, from just below $225 a share back when worries about an imminent recession were arguably at their worst.
Details: Analysts expect the S&P 500 to deliver another year of record earnings in 2023, with EPS rising roughly 2% to $220.53 by the end of December, according to FactSet.
The bottom line: That's not huge growth. But it seems to be solid enough to give stocks a firm foundation to climb.
