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Microsoft, Meta, Tesla and Apple are part of Zacks Earnings Preview
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For Immediate Release
Chicago, IL – January 26, 2026 – Zacks.com releases the list of companies likely to issue earnings surprises. This week’s list includes Microsoft (MSFT - Free Report) , Meta Platforms (META - Free Report) , Tesla (TSLA - Free Report) and Apple (AAPL - Free Report) .
Magnificent 7 Earnings Loom: What to Expect?
The Q4 earnings reporting cycle ramps up this week, with more than 300 companies on deck to report results, including four of the ‘Magnificent 7’ members and 102 S&P 500 members. We have Microsoft, Meta Platforms and Tesla reporting results the same day after the market’s close on Wednesday, January 28th, and Apple on Thursday, January 29th, after the market’s close.
The Mag 7 stocks have struggled lately, with the group lagging the broader market over the trailing twelve-month period, as can be seen by the blue line (+8.9%) in the chart below. While all four Mag 7 stocks reporting this week have underperformed, Meta and Microsoft have been particularly weak, while Apple and Tesla have done marginally better.
The key issues with Microsoft, Meta, and even Apple are all tied to what these companies are doing in the AI space. While Microsoft and Meta are among the big spenders on AI, Apple has been missing in action, making Apple investors nervous about the company’s long-term competitive positioning.
Microsoft was initially seen as a leader in the space, with its relationship with OpenAI adding to its credentials. But that leadership status has now gone to Alphabet, particularly since regulatory headwinds eased for the search giant last year.
In terms of specific expectations, Apple is expected $2.65 per share in earnings on $137.5 billion in revenues, representing year-over-year gains of +10.4% and +10.6%, respectively. The revisions trend has been positive, with estimates steadily moving up.
For Microsoft, the expectation is of $3.88 per share in earnings on $80.2 billion in revenues, representing year-over-year growth rates of +20.1% and +15.2%, respectively. The revisions trend has been positive for Microsoft as well, with estimates for both the December quarter and fiscal year 2026 (FY ends in June) going up.
For Meta, the expectation is of $8.15 per share in earnings on $58.4 billion in revenues, representing year-over-year growth rates of +1.6% and +20.7%, respectively. The stock was down big following the last quarterly release on October 29th.
Looking at the Mag 7 group as a whole, Q4 earnings are expected to increase by +16.9% from the same period last year on +16.6% higher revenues.
The group has been enjoying a steadily improving earnings outlook, with analysts raising their estimates. We saw that trend in play ahead of the start of the Q3 earnings season, and something similar is in place for 2025 Q4 as well.
The way to interpret the above chart is that the Mag 7 group is currently trading at 126% of the S&P 500 multiple, or at a 26% premium to the market multiple. Over the last five years, the Mag 7 group has traded as high as a 71% premium, as low as a 24% premium, with a median premium of 43%.
Q4 Earnings Season Scorecard
Through Friday, January 23rd, we have seen Q4 results from 64 S&P 500 members. Total earnings for these companies are up +17.5% from the same period last year on +7.8% higher revenues, with 82.8% beating EPS estimates and 68.8% beating revenue estimates.
As noted earlier, we have 102 index members reporting results this week. The week’s line-up includes, besides the aforementioned Mag 7 members, a representative cross-section of bellwether operators, including UPS, Boeing, GM, Starbucks, AT&T, IBM, Visa and Mastercard, Caterpillar, Comcast, American Express, Exxon, Chevron, and others.
Earnings and revenue growth remain strong, and EPS beats are tracking above the average for this group of companies in the preceding 20-quarter period, though revenue beats are a tad on the weaker side.
Plenty of results are still to come. But at this early stage, the revenue beats percentage is tracking below the historical average, with all the other metrics in the historical range.
The Earnings Big Picture
The above downtrend notwithstanding, estimates have actually increased modestly for 10 of the 16 Zacks sectors since the start of January, including Tech, Basic Materials, Autos, Industrials, Transportation, and others. On the negative side, estimates have come down for 6 of the 16 Zacks sectors, including Energy, Medical, Consumer Discretionary, and others.
For a detailed look at the overall earnings picture, including expectations for the coming periods, please check out our weekly Earnings Trends report >>>>Earnings Estimates Keep Rising: A Closer Look
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Microsoft, Meta, Tesla and Apple are part of Zacks Earnings Preview
For Immediate Release
Chicago, IL – January 26, 2026 – Zacks.com releases the list of companies likely to issue earnings surprises. This week’s list includes Microsoft (MSFT - Free Report) , Meta Platforms (META - Free Report) , Tesla (TSLA - Free Report) and Apple (AAPL - Free Report) .
Magnificent 7 Earnings Loom: What to Expect?
The Q4 earnings reporting cycle ramps up this week, with more than 300 companies on deck to report results, including four of the ‘Magnificent 7’ members and 102 S&P 500 members. We have Microsoft, Meta Platforms and Tesla reporting results the same day after the market’s close on Wednesday, January 28th, and Apple on Thursday, January 29th, after the market’s close.
The Mag 7 stocks have struggled lately, with the group lagging the broader market over the trailing twelve-month period, as can be seen by the blue line (+8.9%) in the chart below. While all four Mag 7 stocks reporting this week have underperformed, Meta and Microsoft have been particularly weak, while Apple and Tesla have done marginally better.
The key issues with Microsoft, Meta, and even Apple are all tied to what these companies are doing in the AI space. While Microsoft and Meta are among the big spenders on AI, Apple has been missing in action, making Apple investors nervous about the company’s long-term competitive positioning.
Microsoft was initially seen as a leader in the space, with its relationship with OpenAI adding to its credentials. But that leadership status has now gone to Alphabet, particularly since regulatory headwinds eased for the search giant last year.
In terms of specific expectations, Apple is expected $2.65 per share in earnings on $137.5 billion in revenues, representing year-over-year gains of +10.4% and +10.6%, respectively. The revisions trend has been positive, with estimates steadily moving up.
For Microsoft, the expectation is of $3.88 per share in earnings on $80.2 billion in revenues, representing year-over-year growth rates of +20.1% and +15.2%, respectively. The revisions trend has been positive for Microsoft as well, with estimates for both the December quarter and fiscal year 2026 (FY ends in June) going up.
For Meta, the expectation is of $8.15 per share in earnings on $58.4 billion in revenues, representing year-over-year growth rates of +1.6% and +20.7%, respectively. The stock was down big following the last quarterly release on October 29th.
Looking at the Mag 7 group as a whole, Q4 earnings are expected to increase by +16.9% from the same period last year on +16.6% higher revenues.
The group has been enjoying a steadily improving earnings outlook, with analysts raising their estimates. We saw that trend in play ahead of the start of the Q3 earnings season, and something similar is in place for 2025 Q4 as well.
The way to interpret the above chart is that the Mag 7 group is currently trading at 126% of the S&P 500 multiple, or at a 26% premium to the market multiple. Over the last five years, the Mag 7 group has traded as high as a 71% premium, as low as a 24% premium, with a median premium of 43%.
Q4 Earnings Season Scorecard
Through Friday, January 23rd, we have seen Q4 results from 64 S&P 500 members. Total earnings for these companies are up +17.5% from the same period last year on +7.8% higher revenues, with 82.8% beating EPS estimates and 68.8% beating revenue estimates.
As noted earlier, we have 102 index members reporting results this week. The week’s line-up includes, besides the aforementioned Mag 7 members, a representative cross-section of bellwether operators, including UPS, Boeing, GM, Starbucks, AT&T, IBM, Visa and Mastercard, Caterpillar, Comcast, American Express, Exxon, Chevron, and others.
Earnings and revenue growth remain strong, and EPS beats are tracking above the average for this group of companies in the preceding 20-quarter period, though revenue beats are a tad on the weaker side.
Plenty of results are still to come. But at this early stage, the revenue beats percentage is tracking below the historical average, with all the other metrics in the historical range.
The Earnings Big Picture
The above downtrend notwithstanding, estimates have actually increased modestly for 10 of the 16 Zacks sectors since the start of January, including Tech, Basic Materials, Autos, Industrials, Transportation, and others. On the negative side, estimates have come down for 6 of the 16 Zacks sectors, including Energy, Medical, Consumer Discretionary, and others.
For a detailed look at the overall earnings picture, including expectations for the coming periods, please check out our weekly Earnings Trends report >>>>Earnings Estimates Keep Rising: A Closer Look
Free: Instant Access to Zacks' Market-Crushing Strategies
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can tap into those powerful strategies – and the high-potential stocks they uncover – free. No strings attached.
Get all the details here >>
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Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.