This week, four of the biggest and most influential companies in the world, Microsoft, Amazon, Meta, and Apple, report their quarterly earnings. Many are calling this the most crucial earnings season in recent memory as it comes amid a hugely complicated environment of trade wars, tariffs-on and tariffs-off, economic uncertainty and investor unease. These tech giants’ results are not just about meeting Wall Street’s analysts’ expectations; they’re about providing comfort that their growth stories remain intact and that they can remain the major drivers of broader US markets.
The four megacaps make up nearly a quarter of the benchmark, broad-based S&P 500’s value. That means their actual earnings outcomes, the forecasts and guidance will shape market sentiment, not only for technology and the sector’s outlook, but also for markets on a much wider scale. Stock markets have suffered this year, which comes in contrast to the euphoric and bullish run we saw in the run-up to last year’s November US election and Trump’s subsequent victory. The tech-dominated Nasdaq is currently down more than 7% year-to-date, while the S&P 500 is off close to 6% so far in 2025.
Key themes under the spotlight
Many investors will focus on a few major themes which could impact all four companies stock prices. Of course, we can’t start any conversation these days without talking about President Trump’s tariffs. Investors should closely monitor how Microsoft, Amazon, Meta, and Apple address the tariff impacts, with one word likely repeated more than any other – uncertainty. Beyond being bad for business, the tariff picture is a moving target, which makes it very hard for companies to plan for future investment and hiring.
Another important area under scrutiny will be Artificial Intelligence spending. As markets have got stressed, a lot more attention has been paid to how much is being spent on AI projects. Microsoft and Amazon’s updates on cloud and AI investments will give investors a signal on the overall health of tech spending and market confidence.
Finally, consumer and advertising resilience will be critical. In this area, Meta’s advertising performance and Apple’s consumer demand outlook will offer essential insights into the broader economic impact of tariffs and price pressures. The numbers and guidance here could give us a better understanding of how the consumer is managing the current uncertainty, and how companies are approaching margins.
Company specifics
After the US close on Wednesday, Meta is expected to report EPS of $5.29, on revenues of $41.4bn. Solid double-digit growth is forecast, but caution sits around digital advertising spend, especially those driven by Chinese e-commerce firms like Temu and Shein impacting Instagram and Facebook ad revenues. Data centre spending will also be in focus after CEO Zuckerberg called 2025 “a defining year for AI”. Options price a move of +/- 7% the day after the earnings release.
Microsoft also report after the closing bell on Wednesday. EPS of $3.25 and revenues of $68.5bn are predicted, which means around 10% growth y/y. There aren’t any direct tariff impacts on the software giant, so focus will be on cloud, Azure and AI and spending patterns of the customer base. Options price in a move of +/- 4.3% the day following results.
Thursday sees Apple report, with EPS predicted to come in at $1.61on revenues of $94.1bn. Tariffs are a major threat to margins and the company’s supply chains, as the iPhone maker generates about three-quarters of its revenue from selling devices that are mostly manufactured in Asia. Consumer demand will also be of interest. Options see prices moving +/- 3.7% on the day after the results release.
Finally, Amazon is expected to print EPS of $1.36 and revenues of $155bn. Tariffs drive up costs and hurt margins so the retail and e-commerce sectors will be eyeing how the Amazon juggernaut is managing the current environment. And like the other hyperscalers, Amazon has all of the potential added costs associated with tariffs on advanced chips and other data centre equipment. Amazon Web Services is the market leader in cloud infrastructure, ahead of Microsoft and Google. Options markets see a +/- 5.7% move after results.