Second quarter earnings of companies in the S&P 500 may be down 35.2%, but the results are not as bad as analysts had predicted, Investor’s Business Daily reports. Thus, many fund managers and analysts are expecting growth to return in the fourth quarter and continue into the first half of 2010.
“So from that standpoint,” said John Butters, director of U.S. earnings research at
Bill Greiner, chief investment officer at
With only 55 companies in the S&P 500 having reported earnings so far, it’s early in the game, but Greiner expects the number of companies that outpace analysts’ consensus to be two to one. Indeed, so far, 39 companies, or 71% of the 55 reporting, have beaten expectations.