Back to the Horizon

Earnings had been increasing at double-digit growth rates for five consecutive years from 2002 through 2006-although many agreed that earnings growth might be slowing, it was beyond almost everyone’s foreseeable horizon that earnings might actually experience a decline. Yet, before anyone knew it, the end of the cycle was in the rear-view mirror rather than beyond the distant horizon. This article is a follow-up to “Beyond The Horizon: The EPS Cycle” (located above).