#USEarningsSeason

US Earnings Season Q3 2025
Q3 earnings season closed strong with broad beats across sales, profit and margin.

FactSet data as of Nov 21 shows 95% of S&P 500 reported. EPS growth tracking 13.4%, fourth straight quarter of double digit growth, well above 7.4% consensus at quarter end Sep 30. As of Dec 5, 99% reported, same 13.4% growth view holds. Sales grew 8.4%, 2.5% above quarter end view. Average upside surprise was 7.0%, in line with 10 year average but below 5 year average of 8.4%. Aggregate beat rate rose to 8.4%, well above historic 4.9%, showing beats were broad in both size and count.

Sales drove about two thirds of EPS growth, margin drove one third, per JP Morgan review as of Nov 3.

Most Read Examples - Hits And Misses
$CRM - Salesforce. Beat and guide up. Diluted EPS 3.20 USD, ahead of view, stock rose after hours. AI add on and margin lift helped.
$TSM - TSMC. Profit surged 39% year over year, top chip maker rode AI demand. Stock up near 2% pre market on print.
$MS- Morgan Stanley. Profit surged 45%, CEO Ted Pick called quarter strong, banks led early season with 7.9% growth view in mid Oct.
$INTC - Intel. Q3 revenue 13.7 billion USD, up 3%, EPS 0.23 USD vs 0.02 consensus, GAAP net 4.1 billion profit vs 16.6 billion loss a year ago. Stock first jumped 6% to 10% to 37 to 41.38 USD range, up 85% to 90% year to date. $TSLA - Tesla. Miss on EPS. Adjusted EPS 0.50 USD vs 0.54 consensus, revenue 28.10 billion USD vs 26.36 billion expected, up 12%. Stock slipped after hours on miss, showing market cares more on margin than sales beat. $AMAT - Applied Materials. Slowing revenue but guide for next quarter 6.85 billion USD plus or minus 0.5 billion, above view, stock fell over 2% extended on mixed read.
$CHWY - Chewy. EPS 0.32 USD vs 0.30 expected, beat but stock fell near 7% pre market on soft guide.
$M - Macy's. Revenue 4.7 billion USD, EPS 0.04 USD, both ahead of view, retail showed resilience.
$HPE - Hewlett Packard Enterprise. Guide below view, 9 to 9.4 billion USD vs 9.9 billion average view, stock fell 4%.
Trend That Stood Out

AI mentions on calls hit new peak. FactSet John Butters noted 306 S&P 500 firms cited AI term in Q3, a record. This shows AI is now core driver of spend, not side note.

Market response was cautious despite beats. Even with 13.4% growth and 8.4% sales growth, stocks with soft guide fell. Tesla miss, Chewy beat but down, HPE guide miss all show market wants both beat and up guide.

For traders, playbook is clear. Focus on firms with both sales beat and margin lift, avoid firms with sales beat but profit miss. Watch guide for next quarter, watch AI spend vs return, watch buyback pace.

Q3 was strong on paper, picky on price action. That is the hallmark of late cycle earnings season where bar is high.

#USEarningsSeason #ShareWeekly