Crypto Briefing • October 7th 2026, 6:41 AM
Goldman Sachs forecasts 27% jump in S&P 500 profits as AI spending carries the load
Key Summary
Goldman Sachs forecasts a 27% year-over-year growth in S&P 500 earnings per share for the third quarter, driven by corporate spending on artificial intelligence. The bank projects AI infrastructure spending will account for more than half of the index's overall earnings growth, with information technology and energy sectors leading the way.
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Growth Ahead
Goldman's Forecast
Goldman Sachs expects S&P 500 companies to report earnings-per-share growth of 27% year over year for the third quarter. This would be a slowdown from the adjusted 33% growth logged in the second quarter.The Main Engine
The bank views corporate spending on artificial intelligence as the main engine driving this growth. AI-related spending has been responsible for nearly half of the index's EPS growth in 2026 so far.Sector Breakdown
Information technology and energy together are expected to deliver nearly 80% of the S&P 500's EPS expansion. Chipmakers Nvidia and Micron are expected to account for more than one-third of the growth on their own.Risks Ahead
Despite the positive outlook, Goldman flags several risks, including the potential dimming of the tailwind from AI capital spending, depreciation, and normalization of semiconductor margins.A Gradual Offset
Goldman's base case is a slowdown rather than a downturn. The bank argues that productivity gains from AI will gradually offset the fading boost from investment-led growth.#S&P500#AI#US#Finance