Prof G Markets · Friday, July 3, 2026
Tom Lee of Funstrat Global Advisors highlighted that S&P 500 earnings consensus for 2027 has increased significantly, and the market has become cheaper on a PE basis. He attributed these tailwinds to AI and energy infrastructure builds, onshoring trends, and government infrastructure spending. However, concerns remain about the quality of these earnings.
“at the start of this year, 2027 S&P earnings consensus, uh, was at $350. And now it's currently 400. So it's risen by $50.”
“The drivers of earnings have remained in place, you know, part of it is this AI and energy infrastructure build that's taking place.”
“And that that is being reflected in the actual earnings themselves because of these accounting standards.”