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The first quarter earnings season is off and running but this second week is relatively quiet. There will be more big banks, including Bank of America and Citigroup, as well as regional banks reporting.
Additionally, Netflix will be the first big technology and growth company to report of the cycle.
Tariffs and the Consumer
But investors should have a new strategy this earnings season.
It’s not just about the earnings beat, or miss. It’s about two other things: the tariffs and what is happening with the consumer. Some companies will be impacted by the tariffs more than the consumer and vice-versa.
How much are tariffs going to impact earnings? If at all?
Is the consumer pulling back on spending? Or not?
Guidance will be key but with all the uncertainty, will companies even be able to give any guidance beyond the second quarter?
There’s a high level of uncertainty this week. These are the top stock charts to watch.
5 Top Stock Charts for This Week
1. Abbott Laboratories (ABT)
Abbott Laboratories has only missed one time in the last 5 years and it was back in 2021. That’s an impressive record of beats and meets as it includes the pandemic.
The Zacks Consensus is looking for Abbott Laboratories to grow its earnings by 10.3% in 2025 and another 11.4% in 2026. However, it’s trading with a forward price-to-earnings (P/E) ratio of 24.7. That’s expensive even though shares of Abbot Laboratories are off 2025 highs.
Will Abbott Laboratories beat again?
2. Taiwan Semiconductor Manufacturing Co. (TSM)
Taiwan Semiconductor is an earnings all-star. It has only missed on earnings one time in the last 5 years and it was all the way back in 2020, when the pandemic hit.
Earnings of Taiwan Semiconductor are expected to rise 29% this year and another 21% in 2026. But Taiwan Semiconductor is a Zacks Rank #4 (Sell) as one estimate for 2025 has been cut in the last week. That’s bearish.
Will Taiwan Semiconductor beat again even with all the economic uncertainty?
3. American Express Co. (AXP)
American Express has beat on earnings 4 quarters in a row. However, shares of American Express have fallen 14% year-to-date.
Earnings of American Express are expected to rise 14.1% year-to-date. However, 2 estimates have been cut for 2025 in the last 7 days and none have been raised. Thanks to the shares declining, the company is cheaper than the start of the year. American Express has a forward P/E of 16.5.
American Express has its pulse on consumer spending. What will it say this week?
4. ManpowerGroup Inc. (MAN)
ManpowerGroup has beat on earnings 6 quarters in a row. But that hasn’t stopped the stock from falling to 5-year lows.