S&P 500 Earnings Season Guide
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Four times a year, hundreds of S&P 500 companies report quarterly earnings within a concentrated 4-6 week window. This is "earnings season," and it drives significant market volatility.
When Does Earnings Season Happen?
Earnings season typically begins 2-3 weeks after each quarter ends:
- Q1 earnings: Mid-April through May
- Q2 earnings: Mid-July through August
- Q3 earnings: Mid-October through November
- Q4 earnings: Mid-January through February
Key Metrics to Track
Beat rate: What percentage of companies beat earnings estimates? Historically, about 75% beat EPS estimates in any given quarter.
Revenue growth: Are top-line numbers growing? Revenue is harder to manipulate than earnings.
Guidance trends: Are more companies raising or lowering guidance? This signals the direction of the economy.
How Markets React
Stocks can move 5-15% on earnings day. The reaction depends not just on the numbers, but on expectations. A company that beats estimates but provides weak guidance can still drop sharply.
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