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LIVE MARKETS-US company guidance on Q2 so far near what it was a yr ago

ReutersJun 5, 2025 5:06 PM
  • Main US indexes flat to slightly lower
  • Consumer discret. down most of S&P sectors; real estate up most
  • Euro STOXX 600 index up ~0.2%; ECB cuts 25 bps
  • Dollar ~flat; gold, bitcoin down ~1.1%; crude gains
  • US 10-Year Treasury yield rises to ~4.38%

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US COMPANY GUIDANCE ON Q2 SO FAR NEAR WHAT IT WAS A YR AGO

Guidance from S&P 500 companies on the second quarter of 2025 looks so far similar to that of the second-quarter in 2024, according to the most recent data from LSEG.

Moreover, the negative-to-positive outlook ratio for the second-quarter of 2025 is right now slightly below what it was for the second-quarter of 2024.

As of Friday, negative outlooks for the second quarter of 2025 totaled 62 compared with positives outlooks of 41, resulting in a negative-to-positive outlook of 1.5 to 1. Seven outlooks were in line with expectations.

For the second-quarter of 2024, negative outlooks of 59 outpaced 32 positive ones, giving the period a negative-to-positive ratio of 1.8 to 1. Fourteen companies gave guidance in line.

Both periods are below the long-term average negative-to-positive outlook ratio, since 1997, of 2.5 to 1, and also below the average for the prior four quarter of 2.0 to 1, LSEG data shows.

Concerns and comments from companies about the impact of escalating trade tensions on corporate results had kept investors on edge during the first-quarter earnings season, which just ended. Growth of 13.6% in the first quarter was well above the 8% projected on April 1, based on LSEG data.

S&P 500 reporting on the second quarter typically gets under way in mid-July.

(Caroline Valetkevitch)

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