During the 2nd quarter of 2024, most companies in the Index reported 1st quarter 2024 results and provided near and longer-term guidance. The financial performance of the Index continued the improvement seen in the latter part of the prior year with net earnings and free cash flow (FCF)2 per share in the 1st quarter of 2024 increasing 3.45% and 3.40%, respectively, over the comparative 1st quarter 2023 period. While still below long-term average and normalized rates of growth for the Index, the early results in 2024 represent a meaningful improvement over 2023, which was a fundamentally challenging year for the Index with net earnings and free cash flow per share declining 1.4% and 3.1%, respectively, over the prior year period. We would characterize forward guidance by the companies in the Index as unusually mixed, with pockets of fervent optimism related to artificial intelligence and, longer-term, the energy transition, dominating investor sentiment, effectively drowning out concerns and risks expressed by companies that predominately operate in other parts of the economy.
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Holdings are subject to change. Totals may not sum due to rounding.
Price/Earnings (P/E) ratio is a company’s current share price divided by earnings per-share.
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IM-15081-2024-07-31 BBH003973 Exp. Date 10/31/2024
