In the early stages of the Q4 earnings season, 33.7% of the S&P 500 finance sector has reported, revealing a 12.6% increase in earnings and 6.9% higher revenues year-over-year. The results indicate that 91.7% beat EPS estimates and 66.7% surpassed revenue expectations. As more banks report, total anticipated earnings for the sector are projected to rise by 17.7% with a 9.4% increase in revenues compared to the prior year.
Key upcoming reports include Netflix (NFLX), set to release earnings on January 20, with estimates at $0.55 per share and revenues of $11.97 billion—reflecting growth of 27.9% and 16.8%, respectively. Capital One Financial (COF) will follow on January 22, expected to report earnings of $4.07 per share on revenues of $15.3 billion, showing year-over-year increases of 31.7% and 50.3%.
As of January 16, total earnings for the S&P 500 are up 17.3% from last year on 7.6% higher revenues, with 87.9% beating EPS estimates, but revenue beats are trending below historical averages.
