StocksMedium•3 November 2026•
1 min read
S&P 500 EPS Growth Forecast at 29.5% Amid Big Tech AI Spending Concerns
Key Facts
1Heavy AI capital expenditure has negatively impacted free cash flows at Alphabet and Meta.
2Nine S&P 500 firms confirmed delayed reporting dates, a historical indicator of potential bad news.
3S&P 500 EPS growth is expected to hold at a robust 29.5%.
S&P 500 EPS growth is expected to hold at a robust 29.5% during the third-quarter earnings season, according to Seeking Alpha. The report noted that heavy AI capital expenditure has negatively impacted free cash flows at Alphabet and Meta, while nine S&P 500 firms confirmed delayed reporting dates, a historical indicator of potential negative news.
META closed at $606.73 and GOOGL closed at $278.99 on November 2, 2026, as investors weighed concerns over compressed margins due to massive infrastructure investments. On the same date, MSFT closed at $507.12 and AMZN at $245.63, while AAPL closed at $338.32 ahead of its reporting on an unusual schedule.