How to think about earnings estimates during volatile times

From Yahoo Finance: 2025-04-20 09:30:00

Earnings estimates for the next 12 months are rising, while estimates for 2025 and 2026 are declining. This discrepancy is due to different ways of communicating the same information based on the passage of time. Analysts adjust earnings estimates as new information emerges, with historical trends showing downward revisions in calendar year estimates. Despite this, near-term earnings estimates look promising. The stock market outlook remains favorable with positive demand, job creation, and earnings growth. However, risks such as trade wars, inflation, and economic uncertainty persist, requiring vigilance from investors.



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