As US companies navigate earnings season amid global trade war tensions, a cautious approach is leading many firms to withdraw guidance. For instance, Delta Airlines has pulled its 2025 projections due to tariff uncertainty, while CarMax has also abandoned its long-term growth timeline, with CEO Bill Nash expressing concerns over speculative targets. In contrast, United Airlines provided a range of profit forecasts based on varying economic conditions. The first of the Magnificent 7 companies, including Tesla, Alphabet, and others, are due to report earnings soon, with Tesla's results expected to be crucial. Tariffs are anticipated to impact Tesla's profitability despite its domestic supply chain efforts. Alphabet's projections may also be affected by declining global ad spending due to tariffs, leading to potential adjustments in their planned capital expenditures. Overall, this earnings season is crucial, as many companies might choose to report higher expenses to manage earnings effectively throughout the year.

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