According to FactSet Research, as of last week, 29 percent of S&P 500 companies have reported results for the third quarter of 2025.
Of those, 87 percent reported earnings surprises to the upside, while 83 percent beat revenue expectations. The overall blended earnings growth rate for the S&P 500 stood at 9.2 percent last week (0.7 percent higher than the previous week), and better than the 7.9 percent growth that was expected as of September 30th. This week will play a crucial role in the blended earnings growth rate of the S&P 500 for the quarter due to the sheer number of companies that are reporting. If we get through this week with the growth rate remaining at or near current levels, it looks like we could easily see a double-digit earnings growth rate for the quarter. When looking at the forward guidance that has been given so far by companies, 12 companies have issued negative guidance while 11 have issued positive.
This is much better than expected and bodes well for future growth in the markets. I expected the third quarter to be a slow down and this indicates that it was an improved picture for companies.
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