We don’t see anything concerning in the Q4 earnings results from the big banks that would justify the weakness in these stocks. Bank stocks were standout performers in 2025 and the post-release pullback in these stocks likely reflets a sell-the-news type of thinking.

On the whole, results have been good and the outlook for the current and coming quarters is in-line with investors’ favorable expectations for the space. Estimates for the current period (2026 Q1) and full-year 2026 are starting to go up, confirming that the outlook for the group remains positive.

With respect to Q4 earnings season scorecard, we now have results from 28 S&P 500 members. Total earnings for these 28 index members are up +17.5% from the same period last year on +8.9% higher revenues, with 89.3% beating EPS estimates and 75% beating revenue estimates.

The Q4 earnings and revenue growth rates represent a notably accelerating growth trend at this early stage of the reporting cycle, though revenue beats percentage is tracking below average relative to what we have seen from this group of index members in other recent periods.

For more details about the Q4 earnings season and evolving expectations for the coming periods, please check out our weekly Earnings Trends report here >>>>Q4 Earnings Season Gets Off to a Solid Start