* Ups 2011 EPS view to $97.50 from $94
* Sees 2012 EPS at $102
Feb 4 (Reuters) - J.P. Morgan Securities raised its 2011 earnings estimate for the S&P 500 .SPX index on sustained U.S. market resilience.
“The strengthening of economic momentum, coupled with consistent equity inflows this year, point to sustained market resilience — hence, we still see dip buying and remain constructive on equities,” analyst Thomas Lee said in his U.S. Equity Strategy note.
Lee raised his 2011 earnings per share view to $97.50 from $94, maintaining his 2012 estimate of $102 per share.
The analyst said the increase primarily reflects strengthened confidence that corporates can sustain the low cost of capital and tax burden while maintaining profitable growth as GDP accelerates, even as higher commodity costs and energy pressure margins for several sectors.
Lee said the technology, energy, and financials sectors helped the increase in earnings estimate for the year.
The index, which is up 4 percent year-to-date, closed at 1,307.1, on Thursday. (Reporting by Isheeta Sanghi in Bangalore; Editing by Joyjeet Das)