S&P 500 Earnings Season Begins with Key Reports from Major Companies

NEW YORK, NY – The second-quarter earnings season kicks off this week as 37 S&P 500 companies prepare to report their financial results. Among the notable names are big banks like JPMorgan Chase and streaming giant Netflix.

Expectations for the earnings season are generally muted, mainly due to an unpredictable tariff landscape. According to FactSet, analysts predict a 4.8% growth in S&P 500 earnings compared to the same period last year, marking the lowest growth rate since the fourth quarter of 2023.

Investors are keenly watching how major banks perform, starting with JPMorgan Chase, which will report earnings on Tuesday morning. Last quarter, JPM beat expectations but CEO Jamie Dimon cautioned of “considerable turbulence” ahead. Current analyst estimates indicate a significant year-over-year decline in earnings for JPMorgan.

Bank of America’s earnings will follow soon after, with analysts predicting a flat revenue year-over-year. This could impact its stock performance, as the bank has historically topped earnings expectations 80% of the time.

Wells Fargo, which is also set to report, has faced lower-than-expected revenues recently, with analysts remaining cautious. Historical data shows Wells Fargo has beaten earnings estimates in eight of the last nine quarters.

Citigroup is expected to report a modest increase in earnings, though recent analyst revisions suggest a mixed outlook. Citigroup shares have shown solid performance, outperforming many other banks this year.

On Wednesday, Bank of America is joining the fray. Analysts expect the bank’s earnings and revenue to see less than 5% growth year-over-year. Bank of America has seen a lower return compared to peers this year.

Johnson & Johnson will also disclose earnings on Wednesday, with expectations of a nearly 5% earnings decline this quarter amid tariff concerns impacting the pharmaceutical sector.

Financial powerhouse Morgan Stanley is likely to see increases in earnings and revenue as its wealth management sector gains momentum, while Goldman Sachs anticipates a 10% rise in earnings from the prior year.

Netflix, a key player in the market, is scheduled to report on Thursday. Analysts forecast a remarkable 45% increase in year-over-year earnings, driven by successful revenue growth. Investors will be particularly interested in insights into subscriber trends and the company’s evolving content strategies.

The earnings reports will take place from July 17-27, allowing analysts and investors to gauge the financial health of these major constituents of the S&P 500.