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S&P 500 Earnings Are So Good Investors Are Starting to Worry
['Joel Leon', 'Wed', 'August', 'At P.M. Gmt', 'Min Read']
Yahoo Finance - Business Finance, Stock Market, Quotes, News
(Bloomberg) -- The latest reason to worry about the stock market is quite the doozy: Earnings growth has been too strong.
While in isolation those rates are healthy from a historical standpoint, the market often has been less supportive when earnings growth decelerates from elevated levels.
That compares with a median 14% return and a hit rate of 83.3% when EPS growth is above trend and accelerating.
And the growth rate is not the only standout statistic for the second quarter reporting season.
S&P 500 Index profits are also heading toward one of their largest beats on record versus analysts' estimates, according to Citadel Securities.