No. of Recommendations: 10
I think all EPS numbers in Factset, including above, are Operating earnings and not Reported earnings.Good point, I suspect you're right.
In any case, keeping aside the distinction between the two, the numbers on page 32 are stunning! S&P 500 Bottom-Up EPS for CY26 and CY27 are 258 and 405 respectively. This is truly remarkable. We are quickly heading towards an era where the index will earn more than 100 per quarter. I wouldn't get ahead too excited there...those are ESTIMATED forward earnings, not actual earnings. Forward estimates are almost always way higher than reality, and get revised steadily downward as the date of the targeted reporting period approaches. Not always--often forward earnings estimate get upwards revisions right soon after a recession--but it's the general rule.
Nice chart here showing the "squiggle" effect
frontierasset.com - Market briefing the squigglesLots of good and fairly up-to-date charts on the general subject here
yardeni.com - Sp forward revenues earnings marginsyardeni.com - Sp metrics sp vs i b e sEternal optimist Mr. Buffett has always said "the system works", "American tailwind", "Never bet against America", etc. But I am guessing these numbers are beyond even what he imagined. Likely so. But perhaps also beyond what he believes. I don't believe 'em!
Jim
