Main Street Trouncing Wall Street in the Earnings Guidance Game

  • While analysts get more skeptical, company guidance doesn’t
  • The 2019 stock market is starting to steamroll any pessimist
double exposure image of stock market investment graph and city skyline scene,concept of business investment and stock future trading.Photographer: monsitj/iStockphoto
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Stock investors have stopped heeding the increasingly skeptical message of Wall Street earnings forecasters. Maybe everyone should.

Pessimism of any type is starting to look like a misjudgment in the stock market of 2019, a year with a shot at becoming one of the best in decades. The S&P 500 has surged for four straight weeks, closing at a record three of the last five days. All as company analysts keep slashing 2020 estimates.