Zacks Earnings Trends Highlights: Meta Platforms and Nvidia

For Immediate ReleaseChicago, IL – July 30, 2025– Zacks Director of Research Sheraz Mian says, "For the 198 S&P 500 companies that have already reported Q2 results, total earnings are up +7.0% from the same period last year on +5.5% higher revenues."Earnings Outlook Steadily Improves: Mag 7 Reports On DeckNote: The following is an excerpt from this week'sEarnings Trends report. You can access the full report that contains detailed historical actual and estimates for the current and following periods, please click here>>>Here are the key points:The picture emerging from the Q2 earnings season, with almost 40% of the results already in, is one of strength and steady improvement. Not only are an above-average proportion of companies beating consensus estimates, but estimates for the current and coming periods are also going up.For the 198 S&P 500 companies that have already reported Q2 results, total earnings are up +7.0% from the same period last year on +5.5% higher revenues, with 82.8% beating EPS estimates and 79.8% beating revenue estimates.For the Tech sector, we now have Q2 results from 22.4% of the sector's market capitalization in the S&P 500 index. Total earnings for these Tech companies are up +15.2% from the same period last year on +10.6% higher revenues, with 90.9% beating EPS estimates and 100% beating revenue estimates.For the Finance sector, we now have Q2 results from 64.5% of the sector's market capitalization in the S&P 500 index. Total earnings for these Finance companies are up +17.6% from the same period last year on +5.8% higher revenues, with 90.0% beating EPS estimates and 76.0% beating revenue estimates.An Emerging Positive Estimate Revisions TrendRegular readers of our earnings commentary are familiar with a persistently negative revisions trend that has been in place since the start of the year, with the unfavorable trend accelerating at the beginning of Q2 with the Trump administration's tariff announcements.The revisions trend notably stabilized as we have gone through Q2 and has actually started turning positive in recent days.Since the start of Q3 this month, estimates have modestly increased for half of the 16 Zacks sectors, including Finance, Tech, Energy, Consumer Discretionary, Autos, and others.On the negative side, Q3 estimates are still under pressure for the other 8 Zacks sectors, with significant declines to estimates for the Medical, Basic Materials, Construction, Transportation, and other sectors.For the Tech sector, Q3 earnings are expected to be up +8.0% from the same period last year on +11.2% higher revenues.You can look at Q3 estimates for Tech players like Meta Platforms (META), Nvidia (NVDA) and others.Meta, which reports Q2 results on July 30th, is currently expected to bring in $5.92 per share in earnings in Q3. Estimates for Meta have been on a steady uptrend, with the current $5.92 EPS estimate increasing by +1.2% over the past week and +2.6% over the past month. Nvidia, which will be the last Mag 7 company to report Q2 results on August 27th, is expected to earn $1.60 per share in Q3, up +0.9% over the past week and +1.8% over the past month.This positive revisions trend is even more notable for the big banks and brokers like JPMorgan, Citigroup, Goldman Sachs, and others in the Finance sector.Earnings Expectations for 2025 Q2 & BeyondThe positive results from almost 40% of S&P 500 members have helped push the Q2 earnings growth expectation higher, with earnings for the S&P 500 index now expected to increase by +7.6% from the same period last year on +5.2% higher revenues.We have been pleasantly surprised by the aforementioned favorable revisions trend, which validates the market's rebound from the April lows. Given the positive run of Q2 results, it will make sense for this trend to remain in place over the coming weeks as we go through this reporting cycle.Free: Instant Access to Zacks' Market-Crushing StrategiesSince 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. 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These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.#1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NVIDIA Corporation (NVDA): Free Stock Analysis Report Meta Platforms, Inc. (META): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks