Wall Street’s earnings forecasts are holding up better than they have in years. Analysts usually start out the year too optimistic, but they have cut their full-year earnings estimates for S&P 500 companies by only 1.5 percent so far this year, the smallest downward revision since 2011.
By this time last year, earnings forecasts had come down by roughly 7 percent, according to FactSet data. All told, analysts now see per-share earnings for S&P companies rising roughly 10 percent in 2017 from a year earlier, FactSet reports.
Tech remains a huge driver of that. Analysts are now expecting tech-sector profits will rise 14 percent this year, compared to expectations for an 11 percent increase a month ago. The double-digit earnings growth for the sector accounts for more than 20 percent of the S&P’s overall market value.
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