Stocks That Failed The Core Earnings Test In 2Q2026

Forbes analysis highlights two notable removals from the Bloomberg New Constructs Core Earnings Leaders Index — Boeing and Broadridge — after Core Earnings fell below GAAP results, signaling that reported profitability may be overstated. Boeing’s 2025 GAAP EPS of $2.48 contrasts with Core EPS of -$3.46 (a $5.94/share distortion, ~$4.5bn), and Broadridge’s trailing-12-month GAAP EPS of $9.04 exceeds Core EPS of $7.89 (a $1.14/share distortion, ~$135m). The article argues these accounting distortions justify index rebalancing and warns investors to use Core Earnings to avoid overstated winners. It also notes the Bloomberg New Constructs Core Earnings Leaders Index outperformed the S&P 500 in 2025 (27% vs 18%), implying the Core Earnings approach can drive alpha. Market impact: potential downward reassessment of the flagged stocks and wider investor focus on underlying profitability metrics vs headline GAAP figures.