Study shows less than 10% of FTSE 100 companies hit analysts’ forecasts

Only 9% of FTSE100 companies achieved their year-end EPS (earnings per share) forecast for their year-ending 31 December 2003 or the most recent year-end thereafter according to a study released by Parson Consulting, the financial management consultancy. In a comparative study based on an analysis of S&P500 2003 third quarter results, 20% of companies achieved their EPS forecast.  Most US companies overperformed relative to forecast.  

“These findings illustrate how inaccurate the forecasting process remains, both in the UK and the US,? says Mark Hutchinson, Managing Director, Parson Consulting, UK.