S&P 500 companies are on track to report a 52% year-over-year profit increase for the second quarter of 2026, according to LSEG data, led by a 74% gain in technology earnings. Alphabet and Amazon recorded substantial mark-to-market gains on AI investments, including Anthropic, lifting reported results. Excluding those valuation gains, S&P 500 earnings growth would be about 33%, still the strongest quarter since 2021. Investors remain cautious because such gains can reverse quickly and make earnings more dependent on market conditions outside companies’ control. Nvidia’s agreement to guarantee up to $105 billion in lease value for OpenAI’s large Ohio data-center campus has added to concerns about elevated AI valuations and circular financing. OpenAI’s recent revenue was $6.7 billion, and the semiconductor sector fell 5% after the commitment. Seven of the 11 major sectors posted double-digit profit growth, with energy earnings estimated to rise about 143%. Third-quarter profit growth expectations increased to 29.2% from 27.6% in early July, while Goldman Sachs strategists estimate AI infrastructure stocks contributed roughly one-third of second-quarter S&P 500 earnings-per-share growth. More than 450 companies had reported by Friday, and about 85% had exceeded analyst earnings expectations.