In 37 of the past 40 qtrs, S&P 500 earnings easily exceeded analyst estimates.
Why is this so frequent?
I did some digging and it turns out that companies deliberately low-ball guidance for the share price bump from exceeding forecast.
That's crazy. But understandable.
(chart via insight.factset.com/sp-…)
insight.factset.com
Stay updated on the S&P 500 with FactSet analysis of the Q1 earnings growth rate and historical highlights of actuals vs estimates.