# Wall Street will get its first health check on Big Tech

**Published:** 2026-07-28T08:28:27.678Z  
**Topic:** S P 500  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/aa630b10-da1f-4421-be79-cdf5981c4c3c

Investors will get their first look into how Big Tech companies are faring on Wednesday, with Google-parent Alphabet , Tesla , IBM and ServiceNow set to report after the bell. Expectations heading into both reports are high, with analysts on average estimating year-over-year earnings growth of more

**TITLE:** Wall Street’s first Big Tech health check: earnings of Alphabet, Tesla, IBM, ServiceNow  

**META:** Analysts expect >25% YoY earnings growth for Alphabet and Tesla as Wall Street eyes the $6 trillion Big Tech earnings batch that equals 21% of US GDP.  

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Investors will get their first look at how the four biggest U.S. tech firms—Alphabet, Tesla, IBM and ServiceNow—performed after the bell on July 22, with analysts forecasting more than 25% year‑over‑year earnings growth for Alphabet and Tesla and modest profit expansion for IBM and ServiceNow [1].  

| At a glance | |
|---|---|
| Companies reporting | Alphabet, Tesla, IBM, ServiceNow |
| Expected YoY earnings growth | >25% for Alphabet & Tesla; slight expansion for IBM & ServiceNow |
| Combined market cap | ≈ $6 trillion, ~21% of US GDP |
| Market reaction (pre‑market) | Broad equity sell‑off, S&P 500 stalled below early‑June highs; oil price rise weighed on stocks [1] |

## Earnings expectations and market context  

Analysts, using LSEG data, project that Alphabet and Tesla will post earnings growth exceeding 25% versus the same quarter a year ago, outpacing the broader market’s average growth rate [1]. IBM and ServiceNow are expected to deliver only modest profit increases, reflecting a more tempered outlook for legacy software and services. The combined market capitalization of the four firms—about $6 trillion—represents roughly one‑fifth of U.S. GDP, underscoring the macro‑economic weight of this earnings batch [1].  

## Why the reports matter to markets  

The significance of these filings extends beyond individual stock moves. Ben Emons of FedWatch Advisors notes that a cluster of earnings from firms that collectively account for 21% of GDP can influence macro‑economic narratives, especially as AI‑related capital expenditures filter through supply chains [1]. A strong showing from Alphabet or Tesla could validate the ongoing AI spending surge, while IBM and ServiceNow results may signal stabilization in downstream software and services, potentially buoying the broader memory and software sectors. Conversely, any disappointment could exacerbate market fragility; IBM’s preliminary Q2 numbers already triggered its worst‑day move—down 25% on July 14—highlighting how earnings miss can swiftly erode investor confidence [1].  

## Market response ahead of the releases  

Early Wednesday trading saw equities slide, with the S&P 500 failing to breach its early‑June peak and higher oil prices adding pressure to the market breadth [1]. The pre‑market environment suggests that investors are weighing both the upside potential of AI‑driven growth and the downside risk of earnings shortfalls across this high‑impact group.  

## What to watch  

- **Alphabet and Tesla earnings releases** – actual YoY growth versus the >25% forecast will shape sentiment on AI‑related capital spending.  
- **IBM and ServiceNow results** – profit expansion versus consensus will indicate health in legacy software and services.  
- **Subsequent market moves** – S&P 500’s ability to break its early‑June high and oil price trends will signal whether the earnings batch lifts or drags broader equities.  

The outcome of this “Big Tech health check” will either reinforce confidence in AI‑driven growth or expose vulnerabilities in the sector, setting the tone for equity markets as they head into the final quarter of the year.

## Sources
1. CNBC — [Wall Street will get its first health check on Big Tech](https://www.cnbc.com/2026/07/22/wall-street-will-get-its-first-health-check-on-big-tech.html)
2. Tradeinzone — [Wall Street ends lower as ruling on Trump tariffs raises worries...](https://tradeinzone.in/wall-street-ends-lower-as-ruling-on-trump-tariffs-raises-worries/)
3. Zerogpt — [AI Detector - Trusted AI Checker for ChatGPT, GPT5 & Gemini](https://www.zerogpt.com/)
4. Houston Public Media — [Texas Stock Exchange launches trading in test of upstart’s challenge to Wall Street](https://www.houstonpublicmedia.org/articles/news/business/2026/07/08/556505/texas-stock-exchange-launch-trading/)

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Cite as: TrendWatcher, "Wall Street will get its first health check on Big Tech", https://www.trendwatcher.in/article/aa630b10-da1f-4421-be79-cdf5981c4c3c