Earnings Blast

As we approach the ‘unofficial’ end to a strong 2Q26 This week, market focus will shift back to consumer earnings season, 85% of S&P 500 firms have beat 2Q26 EPS spending patterns via earnings results from the largest estimates by 29% in aggregate. While certain one-time retailers including Walmart, Target, Home Depot, Lowes, items were supportive of the index’s 49% Y/Y EPS growth in TJX, and Ross Stores. the quarter, the S&P 500 grew EPS by 30% excluding this impact reflecting strong organic growth.

Second Consecutive Quarter of 20%+ EPS Growth % of Market Cap Reporting by 55% 49% Sector Forecasts 45% (8/17-8/21) 35% Communication Services 0% 28% 27% 25% 25% 17% Consumer Discretionary 1% 13% 15% 12% 13% Consumer Staples 2% 5% Energy 0% -5% Financials 0% 2Q25 3Q25 4Q25 1Q26 2Q26 3Q26 4Q26 1Q27 Health Care 0% S&P 500 YoY EPS Growth % %YoY EPS Growth as of 3/31

Industrials 0% Forward Estimates March Higher $490 Information Technology 0% $462 $440 Materials 0% $403 Real Estate 0% $390 $358 Utilities 0% $340

S&P 500 3% $290 Aug-25 Oct-25 Dec-25 Feb-26 Apr-26 Jun-26 S&P 500 Consensus EPS Estimate

Mon 8/17 Tues 8/18 Wed 8/19 Thurs 8/20 Fri 8/21 Home Depot, Analog Devices, Deere, Ross Keysight Lowe’s, Target, TJX Stores, Walmart Technologies

Sector EPS Growth Sector Beat Rate Sector Sales Growth Energy 145.4% 76.2% 42.3% Communication Services 115.8% 82.6% 12.5% Consumer Discretionary 84.2% 79.5% 9.4% Information Technology 69.3% 94.6% 36.0% Materials 42.4% 84.0% 4.1% Financials 24.1% 82.4% 15.0% Industrials 16.3% 88.5% 13.0% Utilities 10.8% 71.0% 5.4% Consumer Staples 6.6% 79.2% 8.1% Real Estate 5.2% 75.9% 10.1% Health Care -6.0% 94.5% 7.5% S&P 500 49.4% 84.7% 15.4%

Strong Visibility into 2027 for AI Infrastructure Demand Applied Materials: “As AI computing drives unprecedented demand for semiconductors, there is a large gap between demand and supply for advanced chips. To ensure our supply chain and field teams can support their ramps, our largest customers are giving us longer-term commitments and rolling eight-quarter forecasts. This increased demand visibility gives us high confidence that 2027 will be another strong growth year for Applied Materials.”

Cisco: “We believe the accelerating adoption of agentic AI is fueling a networking supercycle. As customers look to manage increasing traffic and costs, they are investing in Cisco's networking stack for inferencing across cloud, on- premise, and edge environments. At the same time, the rise of agentic AI is expanding the threat landscape, driving demand for our Security and Observability solutions to help monitor agent behavior and mitigate evolving threats. This presents a unique opportunity for Cisco and we believe we're only at the beginning of this supercycle.”

Tariff Dynamics Continue to Evolve Tapestry: “On the phasing of the year, keep in mind that we continue to operate in an environment of macro uncertainty and evolving tariffs dynamics, alongside shifts in the cadence of our marketing investments. As a result, quarterly profitability will be uneven, with tariffs providing a modest benefit in the first half of the year before becoming a headwind in the second half.”