The coronavirus outbreak is expected to take a stronger beating on second-quarter earnings. This is especially true as S&P 500 earnings are expected to decline 44.1% on 10.9% lower revenues. The earnings projection is down from around 17.5% earnings decline expected in early April.
Earnings growth is expected to be negative for 15 of the 16 Zacks sectors with double-digit declines. The four sectors that are expected to lose money in Q2 (year-over-year declines of 100% or more) are autos (226.1% earnings decline), transportation (151.2%), energy (139.4%), and consumer discretionary (109.1%). Utilities is the only sector with a modest 0.9%