An article in Bloomberg reports that investors are penalizing earnings misses more than surprises by the widest margin in almost 2 years.

Data gathered by Bank of America Corp. showed that in July, S&P 500 stocks that beat estimates outperformed by only 1.5 percentage points while those that reported earnings misses underperformed by 3.6 percentage points, the widest margin in seven quarters.

“Living up to, let alone exceeding, Wall Street’s expectations has become a bigger challenge for companies as the market plows toward its longest bull run ever and analysts continue to boost their growth estimates,” the article argues.

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