Alphabet, Tesla, IBM and ServiceNow set to report after the bell as Big Tech earnings season heats up

According to CNBC, Alphabet, Tesla, IBM and ServiceNow are set to report after the bell on Wednesday, giving investors their first look at how Big Tech is performing this earnings season. Analysts on average estimate year-over-year earnings growth of more than 25% for Alphabet and Tesla, while LSEG data shows IBM and ServiceNow are forecast to post slight profit expansion from a year earlier. IBM last week released preliminary second-quarter results below analysts' consensus, and its shares fell 25% on July 14 in the stock's worst day on record. Ben Emons, chief investment officer and founder of FedWatch Advisors, said the four companies' combined market capitalization is about $6 trillion, or roughly 21% of U.S. GDP. He said strong results from Alphabet or Tesla would support the view that AI capital spending is flowing through upstream industrial supply chains, while IBM and ServiceNow could show downstream software adoption and services revenue are stabilizing.