For the 222 S&P 500 members reporting Q3 results, total earnings are up 10.7% with 83.8% beating EPS estimates. Net income margins are at 12.27%, and the revisions trend has been positive for Q3. Automakers Ford, GM, and Tesla saw earnings declines, but the market reacted positively overall.

The Zacks Auto sector saw total earnings down 23.9% on higher revenues, with Ford, GM, and Tesla all seeing declines in Q3 earnings. Despite the numbers, the market reaction was positive due to better-than-expected results and guidance, with tariffs being less of a headwind than feared.

Expectations for 2025 Q3 show earnings growth of +7.3% with revenue gains of +7.3%. The revisions trend for Q4 estimates is stable, with estimates essentially unchanged. The overall earnings picture for the S&P 500 index on an annual basis looks promising, with a positive trend emerging from the Q3 reporting cycle.

The demand for data is driving the semiconductor market’s growth, with opportunities for under-the-radar chipmakers in the data center hardware space. One chipmaker, not NVDA, is positioned to capitalize on this growth stage and is just beginning to attract attention.

Read more at Nasdaq: Positive Picture Emerging from Q3 Earnings Season