Analysts Lift S&P 500 Q2 EPS View to 22% as 24 Discounted Stocks Emerge
Updated
Updated · CNBC · Jul 14
Analysts Lift S&P 500 Q2 EPS View to 22% as 24 Discounted Stocks Emerge
3 articles · Updated · CNBC · Jul 14
Summary
HSBC flagged 24 stocks with higher earnings revisions, lower share prices and discounted valuations ahead of second-quarter results, arguing the setup creates opportunities beyond the AI trade.
Consensus now points to 22% year-on-year S&P 500 EPS growth—the strongest since the post-pandemic period—with gains concentrated in sectors where earnings are seen as more predictable.
Energy and information technology are expected to lead with EPS growth of 122% and 61%, while the Mag 7 are forecast to deliver about 30% earnings growth and 34% EBIT growth.
Netflix and T-Mobile ranked among HSBC's top screens: Netflix's forward estimates rose 12% as the stock fell 21% in three months, while T-Mobile's estimates climbed nearly 9% as shares dropped almost 12%.
Outside energy and tech hardware, earnings growth is seen at about 5%, leaving room for upside from tariff refunds, World Cup-linked spending and low expectations in healthcare.