13 August 2012

Summer 2012 Snapshot of Expected Future S&P 500 Earnings

Three months ago, we took a snapshot of the future investors expected for the S&P 500's earnings per share. At the time, we noted that investors had taken a dimmer view of the future for 2012, but were expecting better things in 2013.

Today, we can report that investors have taken a dimmer view of future stock market earnings across the board. Our chart below shows how much their future expectations have changed since 20 May 2012, as compared to earlier forecasts going back to the gloomiest days for the market in 2009:

Forecasts for S&P 500 Trailing Twelve Month Earnings per Share, 2009-2013

The future just isn't as bright as it used to be just three short months ago....

Data Source

Silverblatt, Howard. S&P Indices Market Attribute Series. S&P 500 Monthly Performance Data. S&P 500 Earnings and Estimate Report. [Excel Spreadsheet]. Updated 9 August 2012. Accessed 13 August 2012.