Large American companies are expected to report the highest profits in over 15 years. A third of S&P 500 companies have reported quarterly earnings, with an average net profit margin of 13.2%. This could be a record high since 2009, according to data provider FactSet.
While net profit margins are promising, some S&P 500 sectors are experiencing decreases. Despite this, companies are performing well amidst tariffs and policy uncertainties. Analysts predict even higher net profit margins for the S&P 500 in 2026.
Analysts have mixed forecasts for U.S. stocks in 2026. Deutsche Bank predicts an 18% increase for the S&P 500, while LPL Financial forecasts an 8% increase. Corporate earnings are benefiting from AI technology and tax cuts passed in 2025, despite higher tariffs.
Read more at Yahoo Finance.: Companies reporting earnings are doing just fine, despite tariffs
