Wall Street Sees Rare Earnings Growth Supporting S&P’s Bull Case

Memo to skeptics waiting for Corporate America’s growth engine to stall out: There’s still fuel in the tank.

Such is the message from sell-side analysts, whose aggregated bottom-up price targets suggest the pace of income growth in the S&P 500 Index will accelerate each year through 2027, data compiled by Jefferies show. That would translate into three consecutive years of double-digit earnings expansion, a rare development that’s historically coincided with above-average returns in the S&P 500.