Source: Bianco Research
With most of Q3 earnings now reported, we can take a quick look at the numbers, and they are none too pretty. Before you roll your focus to Q4 earnings, lets pull a few numbers from Nasdaq:
-460 of S&P500 companies reporting, total earnings are down 2.2% (vs same Q3 2011);
-Total revenues are down 3.6%
-Only 38% of the companies have come out with positive revenue surprises; only 62.6% of the companies beating earnings expectations..
-Technology disappointed with total Tech earnings down 4.3%. Only 61.7% of Tech beat earnings expectations; significantly less than prior quarters.
-Basic Materials is the weakest sectors in terms of growth and negative surprises. Energy is a close second in terms of earnings growth, with total quarterly earnings down 19.8%.
-Growth was for the S&P 500 as a whole and a decline of 4% excluding Finance.
Here is the kicker: Earnings expectations for Q4 and for 2013 have yet to be ratched down in a meaningful way. Earnings expectations for 2013 are expected to be up 11%. Revenues are expected up 3.6% in 2013.
Q3 Earnings Season Mostly Behind Us
Fourth-Quarter Earnings the Next Concern
MarketBeat, November 13, 2012