FYI: Since earnings season began on January 12th, 179 companies have reported their quarterly numbers. That's a small number, but we're still able to get an early read on the percentage of companies that are beating consensus earnings and revenue estimates. As shown below, the earnings beat rate (bottom line) this season currently stands at 60%, while the revenue beat rate (top line) stands at 60.1%. As you can see in the chart, compared to prior quarters over the past few years, the current earnings beat rate is somewhat mediocre, but the revenue beat rate is relatively strong. Investors like to see strong top line numbers because they're less easy for companies to fudge, so it's a positive sign that revenues have held up well so far this season.
Regards,
Ted
http://www.bespokeinvest.com/thinkbig/2015/1/23/eps-so-so-sales-strong-largest-companies-reporting-next-week.html?printerFriendly=true
