©Reuters.
by Roberto Zach
Investing.com – Of the 20 companies to report fourth-quarter results so far, 75% beat earnings expectations. This is demonstrated by the current assessments of Refinitiv, a global provider of financial market data.
For comparison, the long-term average is 66.3% and the four-quarter average is 75.5%.
For the fourth quarter of 2022, 65% of companies reported sales exceeding analyst expectations. For comparison, the long-term average is 62.0% and the four-quarter average is 72.8%.
Earnings in the fourth quarter of 2022 are expected to decline 2.2% compared to the same quarter last year. Excluding the energy sector, earnings are expected to decline 6.7%.
4 of the 11 sectors in the index are expected to report an improvement in earnings compared to the fourth quarter of 2021. Energy (NYSE:) (+64.7%) and Industrials (NYSE:) (+42.7%) sectors are expected to report highest earnings growth rates for the quarter, while Materials (NYSE:) (-22.4%)) and Communications Services (NYSE:) (-21.4%) post the largest declines in earnings since the fourth quarter of 2021.
Fourth quarter 2022 sales are expected to be up 4.1% over the same quarter a year earlier. Excluding the energy sector, sales are expected to increase by 3.3%.
Revenue growth is expected for 8 of the 11 Sectors in the quarter. Energy (+12.9%) recorded the highest revenue growth in the quarter, while Utilities (NYSE:) (-18.7%) recorded the largest revenue decline compared to the fourth quarter of 2021.
The expected P/E of the index is currently 16.7.
In the week ending January 9, 9 S&P 500 companies report their earnings results.
Q1 2023 Expectations (YoY):
- Earnings growth: +1.0%
- Revenue growth: +2.5%
Expectations Q2 2023 (YoY):
- Earnings growth: -0.6%
- Revenue growth: -0.1%
Q3 2023 Expectations (YoY):
- Earnings growth: +5.1%
- Revenue growth: +1.1%
Q4 2023 Expectations (YoY):
- Earnings growth: +10.9%
- Revenue growth: +3.9%
Q1 2024 Expectations (YoY):
- Earnings growth: +11.0%
- Revenue growth: +5.2%
I notify: Here you will find everything you need to know on the subject of relationship season and how the balance sheet calendar developed by Investing.com works.
