Wall Street analysts are lowering the hurdles for most U.S. companies ahead of the first quarter of the 2026 earnings season. This trend could create an easy beat scenario for large-cap stocks.
According to the latest Datatrek Research Morning Briefing, earnings growth expectations have fallen for eight S&P 500 sectors since the start of the year.
This shift often precedes a positive tone for the State Street SPDR S&P 500 ETF Trust (NYSE:SPY).
Growth Estimates Cling to Tech and Finance
Only three groups have seen upward revisions to their first-quarter growth targets: Technology, Energy, and Financials. Datatrek notes that Tech firms must prove that heavy artificial intelligence investments are finally yielding financial results.
Meanwhile, the earnings …
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