EPS growth projections coming down

While EPS forecasts have also risen in aggregate YTD, as shown below, EPS growth projections have fallen out of the stratosphere and are back into the normal range. Importantly, this has been one of the better indicators for timing a bottom in equities, shown below in the early ‘00s, ’09, ‘15/’16, 1Q19 and early 2020. Without a steep drop, or a dip into EPS contraction, its hard to give an all-clear.