Meta And Microsoft Will Report Earnings Today: What To Expect From Big Tech Results

 

Meta CEO Mark Zuckerberg, left, and Microsoft CEO Satya Nadella will both address investors Wednesday

Earnings for two of the U.S.’ handful of trillion-dollar companies will come out Wednesday afternoon as Meta and Microsoft will update investors, kicking off a crucial week for on-edge big technology stocks as tariffs complicated investor appetite for artificial intelligence-driven growth.

Key Facts

Meta and Microsoft will both disclose financial results from the first three months of 2025 shortly after 4 p.m. EDT.

Wall Street expects both West Coast titans will set new records on both the top and bottom line for the first calendar quarter.

Consensus forecasts call for $68.4 billion in revenue and $3.22 earnings per share ($24.1 billion net income) for Microsoft, according to FactSet data, which would be an 11% year-over-year increase in sales and 10% jump in profit.

Analysts project Meta to bring in $41.4 billion in revenue and $5.23 EPS ($13.5 billion net income), representing a 14% forecasted gain in sales and an 11% bottom line expansion.

Key Background

Microsoft is the U.S.’ second most valuable company with a $2.9 trillion market capitalization, and Meta is the sixth-largest firm with a $1.4 trillion market cap. Meta and Microsoft are two of the so-called “magnificent seven” big tech companies, joining Google parent Alphabet, Amazon, Apple, Nvidia and Tesla. The septet comprises a third of the S&P 500’s total market capitalization thanks to their outsized influence in the artificial intelligence bonanza. Microsoft makes its AI hay via its Azure enterprise cloud computing unit and its stake in ChatGPT parent OpenAI, while Meta just launched a competitor app to the generative AI dominator ChatGPT, Meta AI. Meta and Microsoft shares have both slumped this year amid the broader stock market pullback as investors’ risk profile weakened. Meta stock declined 5% and Microsoft stock slipped 7% year-to-date through Tuesday, excluding dividends, though that’s stronger than the 15% or more losses from Amazon, Apple and Nvidia, all of which have far heavier exposure to China than Meta and Microsoft.

Tangent

Meta CEO Mark Zuckerberg and former Microsoft CEO Steve Ballmer were among the 10 billionaires whose net worth fell the most during President Donald Trump’s first 100 days, losing a combined $30 billion, according to Forbes’ calculations.

What To Watch For

Thursday will be another magnificent seven earnings doubleheader, as retail titan Amazon and iPhone maker Apple will share quarterly results.

Crucial Quote

“This is a key few days ahead for the markets and tech world,” remarked Wedbush analyst Dan Ives. The trade war is a “key X variable for tech stocks,” noted Ives, adding this week’s reports should provide a glimpse into how demand has held up among businesses and consumers amid the economic uncertainty.