Get ready for weak earnings, starting early Friday.
That’s the conclusion of analysts at FactSet, who anticipate an average decline in earnings of 4.2% for companies in the S&P 500 Index. Just four months ago, analysts were looking for an average expected gain of 2.8% among those companies.
The last quarter with average earnings declines was Q2’16.
First out of the gate this week among the largest financial companies are JPMorgan Chase and Wells Fargo. Analysts expect JPMorgan to report earnings per share of $2.32, up 1% from a year ago, and revenues of $28.07 billion.
Wells Fargo — seeking a new CEO after Tim Sloan’s recent departure and also selling its retirement-plan business — could report EPS of $1.08, down about 1% from last year; sales are anticipated to be $20.87 billion.
First Republic Bank is also reporting earnings Friday. It is expected to report EPS of $1.22 and revenues of $813.41 million.