Strong Q2 earnings season for S&P 500 companies, tech sector expected to perform well.

From Nasdaq.: 2024-07-31 19:35:00

For the 285 S&P 500 companies reporting Q2 results, earnings are up +9.8% with 80.7% beating EPS estimates. Total index earnings expected to rise +9.0%, highest since Q1 2022. ‘Magnificent 7’ companies forecasted +27.6% earnings growth from last year. Tesla disappointed with -45.3% earnings decrease. Alphabet and Microsoft beat estimates but faced market disappointment. Tech sector earnings expected to rise +17.9%.Margins outlook for the Tech sector remains positive, with expectations exceeding last year’s record levels. Optimism about AI’s impact on productivity also considered a positive factor. Overall earnings growth reflects revenue weakness in the Finance sector, with Tech, Finance, and Consumer Discretionary sectors expected to have higher margins in 2024.



Read more at Nasdaq.:: Breaking Down the Q2 Earnings Season Scorecard