Q3 Earnings Season: 2 Big Winners

Core Insights - The earnings season for Q3 2025 has shown strong performance, with many S&P 500 companies exceeding expectations [1][7][8] - Wayfair and American Express have emerged as significant winners during this period, both reporting positive post-earnings reactions and guidance upgrades [1][7] Wayfair Performance - Wayfair reported adjusted EPS of $0.70, a 220% increase year-over-year, and sales of $3.1 billion, reflecting an 8.1% growth [3] - The company achieved a record adjusted EBITDA margin of 6.7%, the highest outside the pandemic [3] - Orders delivered grew by over 5% year-over-year, with new orders increasing in the mid-single digits for two consecutive periods [4] American Express Performance - American Express reported adjusted EPS growth of 19% and a 10% increase in sales, with total sales reaching a record $18.4 billion [5][6] - The strong results led to an upgrade in the company's sales and EPS outlook for the current year [5] - Increased Card Member spending and successful launches of updated Platinum Cards contributed to the positive performance, with Net Interest Income of $4.5 billion exceeding estimates by nearly 4% [6] Overall Market Sentiment - The Q3 2025 earnings cycle has been notably positive, with strong EPS and revenue growth among S&P 500 members [8] - The performance of major banks has provided a solid indication of consumer health [7]