Goldman Forecasts Earnings at $20 annualized S&P500 in Q4

SPY PE at 40 at that level
http://www.bloomberg.com/apps/news?pid=20601087&sid=a.TsPZujnfyw&refer=home

 

WOW, great CALL AFTER THE FACT.


They should have seen this coming years ago but nope, everything was all fine and dandy, doesnt anyone know that free monopoly money doesnt last forever.


Who are these analysts and how much do they pay them to make these predictions always after the fact....

 

The timing of the release of Mr. Kostin´s "analysis" is also to be considered. Why not Jan 6th ?

 

Most people seem to think GS is sinister with their calls. What if they just suck?

 

Kostin's great - has had that number out for months. Check your facts.

 

He must have passed them on to the "prop desk"...question is : which one ? Inhouse ? Or external ?

 

Where does that P/E at 40 come from? According to my calculations, the forward P/E is 15:

S&P: 800,
2009 Earnings (from your source): $53.

800 / 53 = 15

The backward P/E is about the same, with the 2008 earnings at $55 (again, your source).

 

It appears the OP was just annualizing the $5.00 per share number to get to $20. 800/20=40