by Dan Zalipski, CFA
A majority of the S&P 500 companies have reported earnings for the last quarter of 2020. As we began 2021, analysts were expecting Q4 earnings to decline -6.8%, a year-over-year measurement. Somewhat unexpected, as of this writing, they are on track to increase 2.9%. Being a year-over-year measurement, this implies that corporate earnings, in aggregate, are above pre-pandemic levels. The recovery seems to be moving faster than anticipated.