Earnings Watch: Netflix, Tesla results due amid growth concerns
- Wall Street’s Q3 profit expectations have been uncertain, but a swing to profit growth is now likely.
- 84% of the companies in the S&P 500 Index have reported per-share profits above expectations.
- The index is currently showing a third-quarter earnings growth rate of 0.4% compared to previous estimates of a 0.3% decline.
- Big companies like JPMorgan Chase and Delta Air Lines have reported better-than-expected profits.
- Financial forecasts expect S&P 500 index earnings growth of 7.6% for Q4 and 0.9% for 2023 overall.
- Next year is expected to have earnings growth of 12.2%.
- Upcoming earnings reports from companies like Morgan Stanley, Goldman Sachs, and American Express will provide more insight into market sentiment and customer spending.
- Tesla’s earnings report will focus on margins and profitability.
- The entertainment industry is pressuring Netflix to boost profits in the streaming era.
Wall Street’s expectations for Q3 profits have been uncertain, but recent results from companies in the S&P 500 Index have shown that a swing to profit growth is likely. 84% of the companies that have reported so far have exceeded Wall Street’s expectations for per-share profits. The index is currently showing a third-quarter earnings growth rate of 0.4%, compared to previous estimates of a decline. Big companies like JPMorgan Chase and Delta Air Lines have reported better-than-expected profits, indicating that consumers and businesses remain healthy. Financial forecasts expect earnings growth of 7.6% for Q4 and 0.9% for 2023 overall. Next year is expected to have even stronger earnings growth of 12.2%. Upcoming earnings reports from companies like Morgan Stanley, Goldman Sachs, and American Express will provide more insight into market sentiment and customer spending. Tesla’s earnings report will focus on margins and profitability, while Netflix faces pressure to boost profits in the streaming era.
