INVESTMENT COMMENTARY & Outlook
January 27, 2020
2019 was a year of great stock market performance and flat earnings. In some respects, it was the opposite of 2018 when earnings were up more than 20% while stocks were down. Yet if we take the averages for both years for both EPS growth and stock performance, the two years were pretty normal—on average. The 4th quarter of 2019 will be the last lackluster quarter for the S&P 500’s earnings. Looking forward to 2020, the S&P 500 will be having much more favorable year-over-year comparisons, so we expect positive guidance from many flagship companies.