Earnings Season Report Card

Here's Bespoke Investment Group's take on earnings season so far.

"The percentage of companies that have beaten earnings estimates this earnings season currently stands at 69%. {Above Bespoke} highlights how the "beat rates" look for specific sectors. As shown, three sectors have beat rates that are better than the overall reading, while the rest have weaker beat rates.

Interestingly, it's the Financial sector that has the strongest beat rate this earnings season at 81%. On the opposite end of the spectrum, Energy has the weakest beat rate at just 39%. With Energy stocks performing so well heading into earnings season and Financial stocks doing so poorly, it looks like analysts got ahead of themselves and expected too much from Energy and too little from Financials.

Technology and Health Care -- both with beat rates of 70% -- are the other two sectors that are outperforming the overall reading. The Consumer Staples and Consumer Discretionary sectors currently have the 2nd and 3rd weakest beat rates behind Energy."

*Long ETFs that either comprise the majority of these sectors or these sectors are major components of various ETFs we manage in both client and personal accounts. 

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