What are we learning from Q2 earnings season?
For the fifth consecutive quarter, S&P 500 earnings are coming in much stronger than expected. With nearly all companies reported, Q2 EPS is tracking at 90% growth year over year, 25 percentage points higher than expectations when the quarter began. Momentum on the revenue side is perhaps even more impressive with the index’s 25% growth rate the highest reported since FactSet began tracking this metric in 2008.