We just got a fresh wave of earnings reactions from over 30 S&P 500 components - and the tape doesn’t lie.
While some companies are riding the AI wave and breaking out to multi-year highs, others are selling off despite delivering double beats.
The market is drawing a clear line between winners and losers this quarter - and it’s not always about the numbers.
Beneath the headlines, there are some surprising standouts and some brutal punishments.
We're seeing under-the-radar names explode higher on renewed growth stories, while global giants like Visa are getting the cold shoulder from Wall Street despite strong fundamentals.
Let’s unpack the top and bottom reactions and highlight what they mean for investors as we advance.
Here are the top S&P 500 earnings reactions 👇
*Click the image to enlarge it
Generac $GNRC had a +7.34 reaction score after reporting a double beat. This was the best earnings reaction since 2012.
They reported revenues of $1.06B, versus the expected $1.03B, and earnings per share of $1.65, versus the expected $1.32.
Teradyne $TER had a +5.62 reaction score after reporting a double beat. This was the 3rd-best earnings reaction ever.
They reported revenues of $650M, which met the market's expectations, and earnings per share of $0.57, versus the expected $0.54.
Here are the bottom S&P 500 earnings reactions 👇
*Click the image to enlarge it
IDEXX $IEX had a -7.38 reaction score after reporting a double beat. This was the stock's worst earnings reaction ever.
They reported revenues of $111.62B, versus the expected $111.50B, and earnings per share of $4.08, versus the expected $4.48.
Mondelez $MDLZ had a -5.75 reaction score after reporting a double beat. This was the stock's worst earnings reaction since the Great Financial Crisis.
They reported revenues of $8.98B, versus the expected $8.86B, and earnings per share of $0.73, versus the expected $0.68.
Now let's dive into the data and talk about the most important reports 👇
GNRC had its best earnings reaction since 2012 🔥
Generac rallied 19.6% after this earnings report, and here's what happened:
They grew revenue and adjusted EBITDA by 6% and 17.7% year-over-year, respectively. This growth far outpaced the market's expectations.
Formally launched large megawatt generators for data centers, with initial shipments to begin soon and most backlog realized in 2026.
In addition to the excellent report, the management team raised its EBITDA margin guidance.
This is another under-the-radar winner of the AI Revolution. They're benefiting from new data centers across the U.S., much like Corning $GLW.
We love how the market rewarded the stock with its best earnings reaction in decades. This adds to our conviction in the bullish fundamental story.
The streak of 5 consecutive positive earnings reactions is another point for the bulls.
The price surged above a key pivot high from earlier this year, and we're expecting more upside follow-through.
So long as GNRC holds above 165, the path of least resistance is decisively higher for the foreseeable future.
V was punished for beating expectations 🩸
Visa fell 0.1% after this earnings report, and here's what happened:
They grew revenue and net income by 14% and 8% year-over-year, respectively. They're also seeing +32% top-line growth in the Other Revenue segment, which is being driven by advisory and value-added services.
Payments volume grew 8% year-over-year in constant dollars; U.S. volume up 7%, international up 10%, cross-border (ex intra-Europe) up 11%.
They're also expanding stablecoin capabilities, adding support for new coins and blockchains, and deepening partnerships in emerging markets.
Despite being one of the most powerful companies in the Financial sector and growing by double digits, this report wasn't enough for the market to buy it.
However, we think this name will likely buck this quarter's earnings reaction and reach new all-time highs soon.
While we expect more chop in the short-term, there's still a textbook bearish-to-bullish reversal pattern unfolding over more extended time frames.
Our line in the sand for who's in control (e.g., bulls or bears) of the trend is the VWAP anchored to the year-to-date peak.
We think the path of least resistance for V is sideways for the foreseeable future.
Thank you for reading.
- The Beat Team
P.S.: Have you noticed an increase in stock scams lately?
