3 Key Takeaways From the Q3 Earnings Season So Far

Core Insights - The Q3 earnings season is underway, with over 300 companies reporting results, including 85 S&P 500 members, representing more than 28% of the index's total membership [1][2] Group 1: Earnings Performance - The proportion of companies beating EPS and revenue estimates is above historical averages, with 86.2% beating EPS estimates and 79.3% beating revenue estimates among the 58 S&P 500 members that have reported [3][22] - Aggregate Q3 earnings are projected to reach a new all-time quarterly record of $592.5 billion, combining actual earnings from reported companies with estimates for those yet to report [10] - Total earnings for the 58 companies that have reported are up 15.4% year-over-year, with revenues increasing by 8% [22] Group 2: Sector Analysis - The Finance sector has shown strong performance, with total earnings up 20.4% year-over-year and 96.2% of Finance companies beating EPS estimates [24] - The blended beats percentage for Finance sector companies is 88.5%, indicating a robust performance relative to expectations [25] Group 3: Upcoming Reports - Key companies reporting this week include Netflix, expected to report earnings of $6.89 per share on revenues of $11.52 billion, and Tesla, expected to report earnings of $0.53 per share on revenues of $26.45 billion [15][17] - The upcoming reports will provide insights beyond the Finance sector, including automotive and technology companies [14]