The blended earnings growth rate for the S&P 500 in Q2 2026 reached 51% as of Monday, according to John Butters, VP and senior earnings analyst at FactSet. The measure combines reported results with estimates for companies that have not yet reported. If sustained, it would be the index’s strongest earnings growth since Q2 2021, when growth reached 91.6%. Alphabet and Amazon account for most of the increase since June 30 after reporting GAAP (generally accepted accounting principles) earnings per share well above analyst estimates, helped by unrealized investment gains recorded as other income. Alphabet reported EPS of $9.11 versus $2.88 expected, while Amazon posted $5.75 versus $1.82 expected. Excluding the two companies, S&P 500 earnings growth falls to 32.6%, still the highest since Q3 2021, when it reached 40.6%, and enough for a seventh straight quarter of double-digit growth. Ten of 11 sectors are reporting year-over-year earnings growth, with nine posting double-digit gains. Energy is up 146.3%, Communication Services is up 116.9%, and health care is down about 6.5%. On Q2 earnings calls, executives have mentioned AI 305 times, inflation 193 times, tariff 162 times and tariff refund 35 times.