Earnings Are in a Good Place, But Without Much Momentum: JPM's Kelly

The video discusses the reliability of earnings expectations, noting that a high percentage of companies meet or exceed these expectations each quarter. It analyzes market cap and earnings growth, predicting low single-digit growth assuming economic stability. The outlook for 2021 suggests that earnings expectations for 2020 may need adjustment. Analysts often start pessimistic and become more optimistic, affecting estimates. Despite high margins, investors should be cautious as maintaining these margins is challenging.

How do analysts typically behave regarding their earnings estimates?

Evaluate responses using AI:

OFF

What does the speaker imply about the current margins and their sustainability?

Evaluate responses using AI:

OFF