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Q1 Earnings Are Rolling In. The S&P 500 Is on Track for a Sixth Straight Quarter of Double-Digit Growth

Published Apr 15, 2026
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Summary:
  • The S&P 500 is expected to post 12.6% earnings growth in Q1 - its sixth quarter in a row of double-digit gains.
  • Information Technology leads with a projected 45% earnings jump, followed by Materials at 24.2% and Financials at 15.1%.
  • Of the 20 companies that have reported so far, 80% beat profit estimates by an average

of 15.7%. Six quarters in a row. That's how long the S&P 500 has been posting double-digit profit growth - and Q1 is on track to keep the streak alive. Analysts expect the index to post 12.6% earnings growth for the quarter, with revenue up 9.8% - which would be the strongest top-line growth since Q3 2022.

Tech Is Driving the Results

Information Technology is expected to post a 45% jump in earnings, powered by AI spending that keeps speeding up. Materials and Financials follow at 24.2% and 15.1%. Not everyone is winning, though. Energy earnings are expected to come in basically flat, while Communication Services is down 3.3% and Health Care is looking at a 9.8% drop.

Early Reports Are Strong

The first 20 companies to report beat estimates by a wide margin, with 80% topping profit expectations. On average, their actual earnings came in 15.7% above what analysts predicted. Banks kicked things off strong - Goldman Sachs opened the season with a beat on both revenue and profit, marking the first time the firm led off ahead of JPMorgan since 2018.

What to Watch

The key question: if the early beat rate holds, actual growth for the quarter could land closer to 19%. What matters now is whether companies give strong forward guidance or start pulling back because of the war and rising energy costs.

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