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Amazon's,Cisco, Applied Materials and Mosaic are part of Zacks Earnings Preview
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For Immediate Release
Chicago, IL – May 11, 2026 – Zacks.com releases the list of companies likely to issue earnings surprises. This week’s list includes in Amazon’s (AMZN - Free Report) , Cisco Systems (CSCO - Free Report) , Applied Materials (AMAT - Free Report) , Mosaic (MOS - Free Report) .
The Q1 earnings season reconfirmed the steadily improving earnings outlook we have consistently highlighted in our earnings commentary.
The earnings focus lately has been on the blockbuster mega-cap Tech players in the Magnificent 7 group of companies, but results have been impressive across the board in all sectors. Most companies have comfortably exceeded Zacks Consensus EPS and revenue estimates and are showing accelerating earnings and revenue growth trends.
Most importantly, the substance and tone of management guidance has largely been reassuring, notwithstanding the uncertain geopolitical backdrop. This is keeping the aggregate revisions trend positive, which we discuss in some detail later on.
Regular readers of our earnings commentary are familiar with the steadily improving earnings outlook we have consistently highlighted over the past year. This improvement in the earnings outlook has been driven mostly by the Tech sector over the past year, with positive Tech sector estimate revisions offsetting negative revisions elsewhere, keeping the aggregate revisions trend in the neutral-to-positive direction.
This favorable revisions trend modestly expanded beyond its Tech sector core over the last couple of quarters and we are seeing that at play for 2026 Q2 as well, as we show nearby.
As you can see in the above chart, the current expectation is of +21.7% earnings growth in 2026 Q2 on +10.2% higher revenues.
Estimates have moved higher for 7 of the 16 Zacks sectors since the quarter got underway. These sectors are: Tech, Energy, Basic Materials, Utilities, Industrials, Retail, and Business Services.
The positive revisions trend for the Energy and Basic Materials sectors is primarily a function of the conflict in the Persian Gulf and its effect on the supply of oil, LNG, and other commodities.
The upgrade to Retail sector earnings estimates is primarily driven by momentum in Amazon’s business, which we group in the Zacks Retail sector. We suspect that elevated oil prices will prove to be a significant headwind for the sector’s profitability. The negative impact on the retail sector’s earnings outlook will mostly be through diminished consumer demand, but the freight/logistics component will also be stressed by high oil prices.
On the negative side, Q2 estimates have declined for 9 of the 16 Zacks sectors. The sectors suffering the most declines include Transportation, Autos, Consumer Discretionary, Construction, Finance, and Consumer Staples.
2026 Q1 Earnings Season Scorecard
Through Friday, May 8th, we have seen Q1 results from 446 S&P 500 members or 89.2% of the index’s total membership. Total earnings for these 446 index members are up +21.2% from the same period last year on +10.3% higher revenues, with 79.6% beating EPS estimates and 78% beating revenue estimates.
We have more than 500 companies on deck to report Q1 results this week, including 11 S&P 500 members. Notable companies reporting this week include Cisco Systems, Applied Materials, Mosaic, and others.
The Earnings Big Picture
As noted earlier, 2026 Q1 earnings are on track to be up +23.9% from the same period last year on +10.9% higher revenues, with 13 of the 16 Zacks sectors expected to enjoy positive earnings growth. Earnings growth for the quarter would be +10.1% when the Tech sector’s substantial contribution is excluded and +16.7% on an ex-Mag 7 basis.
Importantly, 2026 Q1 aggregate earnings are on track to be a new all-time quarterly record.
For calendar year 2026, total S&P 500 earnings are currently expected to be up +19.7%, compared to +13.1% earnings growth last year and +16% expected next year.
All 16 Zacks sectors are currently expected to enjoy positive earnings growth in 2026, a development that we haven’t seen in a very long time. The Tech and Energy sectors are big contributors to earnings growth in 2026, with +33.2% and +56.7% earnings growth, respectively.
Excluding the Energy sector’s substantial contribution, 2026 earnings growth for the rest of the index would +17.9% (vs. +19.7% otherwise. Excluding the Tech sector, index earnings would be up +12.8% in 2026.
The Mag 7 group is expected to enjoy +26.2% earnings growth on +18.6% revenue growth in 2026, following the group’s +24.8% earnings growth in 2025. The Mag 7 group is on track to account for 27% of all index earnings in 2026. But the aggregate growth picture remains robust and the strongest in the post-COVID period.
For a detailed look at the overall earnings picture, including expectations for the coming periods, please check out our weekly Earnings Trends report >>>>Record Earnings Expected in 2026 Q1
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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.
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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.
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Amazon's,Cisco, Applied Materials and Mosaic are part of Zacks Earnings Preview
For Immediate Release
Chicago, IL – May 11, 2026 – Zacks.com releases the list of companies likely to issue earnings surprises. This week’s list includes in Amazon’s (AMZN - Free Report) , Cisco Systems (CSCO - Free Report) , Applied Materials (AMAT - Free Report) , Mosaic (MOS - Free Report) .
Beyond Mega-Cap Tech: Q1 Earnings Confirm Broadening Growth Trend
The Q1 earnings season reconfirmed the steadily improving earnings outlook we have consistently highlighted in our earnings commentary.
The earnings focus lately has been on the blockbuster mega-cap Tech players in the Magnificent 7 group of companies, but results have been impressive across the board in all sectors. Most companies have comfortably exceeded Zacks Consensus EPS and revenue estimates and are showing accelerating earnings and revenue growth trends.
Most importantly, the substance and tone of management guidance has largely been reassuring, notwithstanding the uncertain geopolitical backdrop. This is keeping the aggregate revisions trend positive, which we discuss in some detail later on.
Regular readers of our earnings commentary are familiar with the steadily improving earnings outlook we have consistently highlighted over the past year. This improvement in the earnings outlook has been driven mostly by the Tech sector over the past year, with positive Tech sector estimate revisions offsetting negative revisions elsewhere, keeping the aggregate revisions trend in the neutral-to-positive direction.
This favorable revisions trend modestly expanded beyond its Tech sector core over the last couple of quarters and we are seeing that at play for 2026 Q2 as well, as we show nearby.
As you can see in the above chart, the current expectation is of +21.7% earnings growth in 2026 Q2 on +10.2% higher revenues.
Estimates have moved higher for 7 of the 16 Zacks sectors since the quarter got underway. These sectors are: Tech, Energy, Basic Materials, Utilities, Industrials, Retail, and Business Services.
The positive revisions trend for the Energy and Basic Materials sectors is primarily a function of the conflict in the Persian Gulf and its effect on the supply of oil, LNG, and other commodities.
The upgrade to Retail sector earnings estimates is primarily driven by momentum in Amazon’s business, which we group in the Zacks Retail sector. We suspect that elevated oil prices will prove to be a significant headwind for the sector’s profitability. The negative impact on the retail sector’s earnings outlook will mostly be through diminished consumer demand, but the freight/logistics component will also be stressed by high oil prices.
On the negative side, Q2 estimates have declined for 9 of the 16 Zacks sectors. The sectors suffering the most declines include Transportation, Autos, Consumer Discretionary, Construction, Finance, and Consumer Staples.
2026 Q1 Earnings Season Scorecard
Through Friday, May 8th, we have seen Q1 results from 446 S&P 500 members or 89.2% of the index’s total membership. Total earnings for these 446 index members are up +21.2% from the same period last year on +10.3% higher revenues, with 79.6% beating EPS estimates and 78% beating revenue estimates.
We have more than 500 companies on deck to report Q1 results this week, including 11 S&P 500 members. Notable companies reporting this week include Cisco Systems, Applied Materials, Mosaic, and others.
The Earnings Big Picture
As noted earlier, 2026 Q1 earnings are on track to be up +23.9% from the same period last year on +10.9% higher revenues, with 13 of the 16 Zacks sectors expected to enjoy positive earnings growth. Earnings growth for the quarter would be +10.1% when the Tech sector’s substantial contribution is excluded and +16.7% on an ex-Mag 7 basis.
Importantly, 2026 Q1 aggregate earnings are on track to be a new all-time quarterly record.
For calendar year 2026, total S&P 500 earnings are currently expected to be up +19.7%, compared to +13.1% earnings growth last year and +16% expected next year.
All 16 Zacks sectors are currently expected to enjoy positive earnings growth in 2026, a development that we haven’t seen in a very long time. The Tech and Energy sectors are big contributors to earnings growth in 2026, with +33.2% and +56.7% earnings growth, respectively.
Excluding the Energy sector’s substantial contribution, 2026 earnings growth for the rest of the index would +17.9% (vs. +19.7% otherwise. Excluding the Tech sector, index earnings would be up +12.8% in 2026.
The Mag 7 group is expected to enjoy +26.2% earnings growth on +18.6% revenue growth in 2026, following the group’s +24.8% earnings growth in 2025. The Mag 7 group is on track to account for 27% of all index earnings in 2026. But the aggregate growth picture remains robust and the strongest in the post-COVID period.
For a detailed look at the overall earnings picture, including expectations for the coming periods, please check out our weekly Earnings Trends report >>>>Record Earnings Expected in 2026 Q1
Why Haven't You Looked at Zacks' Top Stocks?
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 access their live picks without cost or obligation.
See Stocks Free >>
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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.