Oct 19 - Only 41% S&P companies beat revenue estimates. Jeanne Yurman reports.
Forty one percent is today's daily digit. This is the small chunk of S&P 500 companies that have beat revenue estimates during this earnings season so far, according to Thomson Reuters Proprietary Research. At the same time, a much greater sixty percent of S&P 500 firms have surpassed profit forecasts. Citigroup is on the list of firms where revenues are falling short but earnings are beating Wall Street estimates. So is Bank of America, Southwest Airlines and Pepsico. So how does it add up? When you look under the hood, in some cases some part of the bottom line strength is coming from cost cutting or price increases. And going back to our daily digit...historically over sixty percent of S&P 500 companies beat revenue estimates. Forty-one percent is a far cry from that, reflecting the global economic weakness so many companies are facing. Jeanne Yurman, Reuters