S&P 500 earnings jump 51% in Q2, driven by Alphabet and Amazon

According to FactSet senior earnings analyst John Butters, the S&P 500’s blended earnings growth for Q2 2026 surged to 51%, the fastest rate since the index recorded 91.6% growth in Q2 2021. The jump is anchored by Alphabet’s GAAP EPS of $9.11, far exceeding the $2.88 consensus, and Amazon’s $5.75 EPS, well above the $1.82 estimate, both boosted by unrealized investment gains. When those two giants are removed, the index still shows a 32.6% increase, the highest since Q3 2021, and continues a streak of seven quarters with double-digit earnings growth.

Ten of eleven sectors reported year-over-year gains, with energy up 146.3% and communication services up 116.9%, while health care posted a modest 6.5% profit decline. Executives frequently referenced AI in earnings calls, whereas terms like “tariff refund” appeared far less often.