Deutsche Bank Raises S&P 500 Earnings Forecast: Expects 2026 EPS to Reach $358

August 3rd, Deutsche Bank raised its earnings forecast for the S&P 500 Index, expecting the S&P 500 earnings per share (EPS) to reach $358 in 2026, up from the previous estimate of $342; the 2027 EPS forecast has been raised from $390 to $420.

Deutsche Bank stated that this upward revision is mainly based on the strong performance of corporate second-quarter earnings. A record-breaking 87% of S&P 500 component companies have reported earnings exceeding market expectations, with second-quarter corporate profits expected to grow by 33% year-on-year.

Deutsche Bank pointed out that earnings growth is spreading from large tech companies to a broader range of industries, with corporate profit margins reaching record highs, and sales growth remaining robust, demonstrating the resilience of U.S. corporate profitability.