The Insane Earnings MoMo Losing A Little MoJo
An interim peak in EPS?
This year's rally has been remarkably simple: earnings, not multiple expansion, have done almost all of the work. That leaves investors facing one crucial question heading into Q2. Can corporate America continue to deliver at a pace that justifies one of the highest earnings expectations in years? Hyperscaler estimates have stopped accelerating, margins are (slightly) softening and the beloved earnings momentum trade may finally be losing a little horsepower.