In the last blog post, both Q2 ’17 and 2017 revenue growth was discussed and the promise was made that Factset data would be forthcoming so readers can compare it to the Thomson Reuters data:
Q2 ’17 – which sectors have seen higher “expected’ revenue revisions ?
- Tech: +7.7% as of 5/12/17, vs. +7.6% as of 3/31/17
- Basic Mat: +7% vs +5.7%
- Real Estate: +4.2% vs +3.6%
- Cons Disc: +4.2% vs. +4.1%
- Hlth Care: +4.0% vs. +3.9%
- Industrials: +2.6% vs. +1.8%
Energy revenues have been the biggest drag on the S&P 500 expected Q2 ’17 revenues, as energy revenues have declined from +24.9% to +19.5%
Full-year 2017:
- Tech: +7.8% vs. +7.4%
- Basic Mat: +6.0% vs. +5.0%
- Real Estate: +5.5% vs +5.1%
- H/Care: +4.7% vs. +4.5%
- Cons Disc: +4.4% vs. +4.3%
- Industrials: +3.2% vs. +2.6%
- Financials: +3.2% vs +3.0%
What is surprising is that so many sectors – 7 of 11 – are seeking upward revisions to revenue for full-year 2017, which is supported by and confirms the Thomson Reuters data.
The stock market has become sensitive to the political headline cycle the last week, which matters in terms of national confidence, but pay attention to the underlying fundamentals.
This is healthier annual SP 500 revenue revision data than we have seen in many years.