Money Control Place
  • Politics
  • Business
  • Stocks
  • Investing
  • Politics
  • Business
  • Stocks
  • Investing

Money Control Place

Stocks

2023 Q4 Earnings Analysis and Projections Through 2024 Q4

by April 12, 2024
April 12, 2024
2023 Q4 Earnings Analysis and Projections Through 2024 Q4

S&P 500 earnings are in for 2023 Q4, and here is our valuation analysis.

The following chart shows the normal value range of the S&P 500 Index, indicating where the S&P 500 would have to be in order to have an overvalued P/E of 20 (red line), a fairly valued P/E of 15 (blue line), or an undervalued P/E of 10 (green line). Annotations on the right side of the chart show where the range is projected to be based upon earnings estimates through 2024 Q4.

Historically, price has usually remained below the top of the normal value range (red line); however, since about 1998, it has not been uncommon for price to exceed normal overvalue levels, sometimes by a lot. The market has been mostly overvalued since 1992, and it has not been undervalued since 1984. We could say that this is the “new normal,” except that it isn’t normal by GAAP (Generally Accepted Accounting Principles) standards.

We use GAAP earnings as the basis for our analysis. The table below shows earnings projections through December 2024. Keep in mind that the P/E estimates are calculated based upon the S&P 500 close as of December 29, 2023. They will change daily depending on where the market goes from here. It is notable that the P/E is outside the normal range.

The following table shows where the bands are projected be, based upon earnings estimates through 2024 Q4.

This DecisionPoint chart keeps track of S&P 500 fundamentals, P/E, and yield, and it is updated daily — not that you need to watch it that closely, but it is up-to-date when you need it.

CONCLUSION: The market is still very overvalued and the P/E is still above the normal range. Earnings have ticked up, are trending up, and are estimated to be higher through the end of this year. Being overvalued doesn’t require an immediate decline to bring valuation back within the normal range, but high valuation applies negative pressure to the market environment.

Watch the latest episode of DecisionPoint on StockCharts TV’s YouTube channel here!

(c) Copyright 2024 DecisionPoint.com

Technical Analysis is a windsock, not a crystal ball.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

DecisionPoint is not a registered investment advisor. Investment and trading decisions are solely your responsibility. DecisionPoint newsletters, blogs or website materials should NOT be interpreted as a recommendation or solicitation to buy or sell any security or to take any specific action.

Helpful DecisionPoint Links:

DecisionPoint Alert Chart List

DecisionPoint Golden Cross/Silver Cross Index Chart List

DecisionPoint Sector Chart List

DecisionPoint Chart Gallery

Trend Models

Price Momentum Oscillator (PMO)

On Balance Volume

Swenlin Trading Oscillators (STO-B and STO-V)

ITBM and ITVM

SCTR Ranking

Bear Market Rules

0
FacebookTwitterGoogle +Pinterest
previous post
NVDA is Holding Strong: It’s Time to Think About Accumulating this Stock
next post
Lancaster Resources Acquires Piney Lake Gold Property

Related Posts

DJIA/Gold Ratio vs. Consumer Sentiment

August 11, 2023

Small-Caps and Retail Hold the Line in the...

October 7, 2023

Week Ahead: NIFTY Takes A Breather After Seven...

December 23, 2023

200-Day Moving Average Confirms Bearish Phase

April 17, 2025

Boyz to Men — Step Back to Small...

September 27, 2023

Return of the Meme Stock Frenzy: Is Now...

March 28, 2024

Stocks Continue Feeling The Pressure From Higher Rates

October 12, 2023

Bitcoin Halving Could Bring Massive Upside!

April 17, 2024

Capturing the Momentum Phenomenon – Nvidia vs Tesla

February 20, 2024

1960s Analogue Sees Inversion in 2023

December 8, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Joe Rabil’s Undercut & Rally Pattern: From DROP to POP

    • RRG Alert Tech Vaults to ‘Leading’—Is XLK Signaling a New Rally?

    • Coelacanth Energy

    • Jeffrey Christian: Gold, Silver, PGMs — Short-term Prices and Key Drivers

    • Ericsson, Rogers Launch Canada’s First Underground 5G Network for Smart Mining

    • Crypto Market Recap: Bitcoin Price Stalls as Fed Holds Rates Steady, Circle Shares Jump

    Categories

    • Business (1,259)
    • Investing (2,583)
    • Politics (3,699)
    • Stocks (1,669)
    • Uncategorized (20)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: MoneyControlPlace.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 moneycontrolplace.com | All Rights Reserved