S&P 500 earnings beats hit four-year low

Companies in the S&P 500 are reporting third-quarter earnings that exceed analyst expectations by the smallest margin in approximately four years, according to data from FactSet.

As of Nov. 6, 2026, 88% of companies in the index had released their financial results. While 84% of these firms reported earnings per share that surpassed Wall Street estimates—a figure above the decade-long average—the actual margin of these beats is slim.

The data shows that companies are reporting earnings just 2.7% above analyst estimates. This performance is significantly lower than the five-year average of 7.5% and is on track to be the smallest margin since the fourth quarter of 2022.

Market reaction to these results has been relatively muted compared to historical trends. Companies that failed to meet earnings estimates saw an average stock-price decline of 1.1% between two days before and two days after their reports. This drop is less severe than the five-year average decline of 3.1%.

The current earnings environment coincides with a period of market unrest and follows a recent sell-off in the tech sector. Investors are now looking toward upcoming earnings reports, including those from Cisco, to see if the trend of narrow beats persists.