Corporate Earnings Forecasting Obama Victory
American is strikingly different. Balance sheets are flush with cash,
debt is being serviced relatively easily and corporate profits as a
percent of GDP are amongst the highest on record. As the chart shows,
if real corporate earnings are growing over the last two years of a
president’s first term, re-election has been a good bet. In blue are
the presidents who served more than one term in office and the red bars
show one term presidents.