U.S. companies are on track for one of the best earnings seasons in ten years, according to financial research company FactSet, which publishes a weekly review of quarterly reports (which is also freely available on its website). In its latest issue, we learn that 53% of the S&P 500 companies have already posted their results and that 83% of them exceeded the earnings per share consensus, a level higher than the average of 5 years (70%). If this trend is confirmed with the remaining 47% of companies that have not published their results yet, it would be the highest rate since 2008, when FactSet started to record this type of data. However, companies are reporting EPS that are on average 2.5% above estimates, which is lower than the five-year-average (4.4%).

Meanwhile, the blended year-over-year earnings growth rate - which combines actual results for companies that have reported with estimated results for companies that have not yet reported – is 21.3%. This is the second best performance for 8 years, after q1 2018.  In addition, the blended year-over-year revenue growth rate is 9.3%.

So far, it seems  that trade and tariffs have had little impact on the bottom line of businesses. However, as shown in the table below made by FactSet, all sectors are not fairing as well. Energy is 10.5% lower than expectations, while utilities are 11% above.
 

We take this opportunity to remind you that hunt for companies whose prospects are being raised by the market provides a good investment base. By integrating other financial parameters, it is possible to create very efficient value selections. The problem is that finding all these data and comparing them is very complicated. Come on, it's a joke, just use our Market Screener.