After a mid-month downdraft in markets, results from the Q3 reporting slate drove stocks higher for the month overall. S&P 500 Q3 EPS growth is tracking at 8% year-over-year (“YoY”) versus consensus expectations of 6% at the start of earnings season. While positive, the outperformance of S&P 500 EPS growth relative to expectations is at the lowest level over the past four quarters. This fact strikes us as notable, given that consensus expects S&P 500 EPS YoY growth to almost double by Q3 2026 to ~15%. Since the start of the earnings season, the consensus estimate for 2026 EPS has been revised higher by 2% and now sits at ~$308, resulting in a 2026 P/E of 21.9x.
Alternative asset manager offering investment solutions that find a balance between asset protection and capital enhancement.
Alternative asset manager offering investment solutions that find a balance between asset protection and capital enhancement.