With all eyes on the health of the U.S. consumer, Walmart‘s fiscal first-quarter earnings report Thursday morning may offer Wall Street some of the best clues yet. 

The big box retailer is expected to report another quarter of growing sales and profits, but its commentary on consumer spending – if it’s seeing any pressure and where – could offer investors a view into the strength of the U.S. economy. 

Here’s what analysts expect Walmart to report for the quarter, according to consensus estimates from LSEG:

• Earnings per share: 66 cents per share
• Revenue: $175 billion

In the three months since Walmart last reported earnings, there’s a new conflict in the Middle East, gas prices have soared and consumer sentiment has plummeted, falling to a fresh record low in May. The flurry of bad news comes on top of years of sticky inflation, higher interest rates and a global trade war that’s pushed prices even higher. 

Walmart has long been among the best positioned to weather just about any economic storm, but given the wide consumer segments it caters to, it’s uniquely positioned to see whether and where cracks in the economy are forming. 

Long a value play among lower-income shoppers, Walmart in recent years has been winning over more high-income consumers, which has helped fuel its growth and insulate it from economic shocks that have hit lower earners more acutely. 

When reporting earnings on Thursday morning, investors will want to know: Are higher-income shoppers still as resilient as they’ve been, or are higher gas prices having an impact? How much more pressure is the lower income shopper facing? 

If consumers start pulling back, leading to a greater concentration of lower-margin groceries over higher-margin discretionary goods, Walmart’s additional revenue streams are expected to help offset those pressures. Its advertising and marketplace businesses are both high-margin revenue streams that have helped Walmart keep prices low and maintain profits.

So far this earnings season, major companies have largely said consumer spending has held up in the face of higher gas prices. But that resilience also came amid higher tax returns, which Target said on Wednesday may have fueled some of the growth it saw during the first quarter. 

“We believe this year’s higher tax refunds were a source of upside to consumer spending in Q1, and that benefit will be fading over the rest of the year,” finance chief Jim Lee said on a call with analysts. “While consumers have proven to be resilient so far, sentiment has been declining recently. And we’re keeping a close eye on their spending behavior.” 

Investors will want to know if Walmart has seen a similar trend and what that could mean for the duration of the fiscal year and the economy at large.

Nintendo will hike the retail price of the Switch 2 after forecasting a decline in sales for its flagship console as the memory chip crunch hits the Japanese gaming giant.

The company said on Friday it expects to sell 16.5 million units of the Switch 2 in its fiscal year ended Mar. 31, 2027. That is a decline from the 19.86 million units sold in the fiscal year just ended.

Meanwhile, the company’s forecasts for the current year were far below analyst estimates.

Nintendo said the price of the Switch 2 in the U.S. will rise by $50 from $449.99 to $499.99, from Sept. 1. In Japan, Nintendo will hike the price from 49,980 yen to 59,980 yen, effective May. 25. Nintendo also said prices for the Switch 2 will increase in Canada and Europe.

Nintendo said the rise in console prices is “In light of changes in market conditions” and after the company considered “the global business outlook.”

Switch 2 consoles use memory chips that have seen unprecedented price rises driven by the global AI data center buildout. Nintendo has been forced to raise console prices following rival Sony, which announced price increases of up to $150 on its flagship PlayStation 5 in March.

Nintendo shares have been under pressure since hitting a record high above 14,000 yen in August, falling nearly 50% since that peak as the memory crunch has impacted the company.

On Friday, Nintendo said its financial forecast for the year ended March 2027 reflects an approximately 100 billion yen ($637.8 million) impact due to rising component prices, particularly for memory, and “tariff measures.”

The company’s outlook was shy of analyst expectations. Nintendo now forecasts net sales for the year of 2.05 trillion yen, an 11.4% year-on-year decline and missing LSEG analyst expectations of 2.46 trillion yen. The company said it also expects a 27% decline in net profit to 310 billion yen, below analyst expectations of 418.5 billion yen.

“The clock was ticking for Nintendo for months now,” Serkan Toto, CEO of Kantan Games, told CNBC. “The impact is quite dramatic, as console sales usually go up in the second year — and not down as Nintendo predicts this time.”

The Switch 2 was released last June.

Despite the headwinds, Nintendo continues to find success with its well-known brands. “The Super Mario Galaxy Movie”, released this year from Universal and Illumination, has grossed nearly $900 million globally, according to Box Office Mojo.

The Switch 2 game “Pokémon Pokopia,” has turned into a surprise hit, receiving positive reviews from users and becoming one of the console’s best-selling games so far.

Nintendo has a new game in its “Splatoon” and “Starfox” franchises slated for this year. There are two major Pokémon games scheduled for release next year.

“It is now absolutely critical for Nintendo to release blockbuster first-party games as fast as possible in order to drive sales,” Toto said.

Nintendo’s reported revenue of 407.2 billion yen for the first quarter was below analyst estimates compiled by LSEG of 430.6 billion yen. But net profit came in at 65.2 billion, ahead of analyst expectations of 63.28 billion yen.

Goldman Sachs is scheduled to report first-quarter earnings before the opening bell Monday.

Here’s what Wall Street expects:

• Earnings: $16.49 per share, according to LSEG
• Revenue: $16.97 billion, according to LSEG
• Trading revenue: Fixed income of $4.92 billion, equities of $4.91 billion, per StreetAccount
• Investing banking fees: $2.5 billion, per StreetAccount

Goldman Sachs is set up to benefit from several trends during the first quarter.

Trading desks across Wall Street have been busy at the start of the year as institutional investors set new positions against the churn of AI-led disruption across sectors.

At the same time, the investment banking rebound is expected to continue, with revenue for the industry set to climb by 10% in the quarter, per Dealogic.

For Goldman Sachs, which gets most of its revenue from its trading and investment banking franchise, the main question analysts will have is about the impact of the Iran war that started on Feb. 28.

Disruptive events that impact the price of commodities — like the Iran conflict has — can sometimes force corporate clients to the sidelines, meaning a delay in mergers activity might have started. At the same time, the churn can lead to greater trading revenues thanks to moves in interest rates, bond prices and currencies.

Shares of the bank have climbed about 3% this year.

This story is developing. Please check back for updates.

The Federal Reserve is still expecting to cut interest rates once this year in spite of a spike in oil prices from the Iran war.

The central bank’s so-called dot plot, which shows the anonymous expectations of the 19 individual members, showed a median estimate of 3.4% for the federal funds rate at the end of 2026, the same as what it had projected at the end of last year.

However, a closer look at the overall dot plot showed the balance of projections moved toward fewer reductions, meaning more members are forecasting one reduction from two previously.

“If you notice, the median didn’t change, but there was actually some movement toward — a meaningful amount of movement — toward fewer cuts by people,” Fed Chair Jerome Powell said in his post-meeting remarks. “So four or five people went from two to one, let’s say, two cuts to one cut.”

The Fed kept rates unchanged on Wednesday, voting 11-1 to keep the benchmark federal funds rate anchored in a range between 3.5%-3.75%.

Traders had come into the year hopeful for two interest rate cuts. However, that expectation has been getting pushed out in recent weeks because of data showing hotter inflation that could put the central bank on hold.

In particular, it complicates the job of former Fed Governor Kevin Warsh, who is set to succeed current Chair Powell when his term ends in May. Warsh, who was handpicked by President Donald Trump, has expressed his support for lower rates.

The Fed’s Summary of Economic Projections showed higher inflation projections for the year, as well as a somewhat faster pace of growth.

The forecast for personal consumption expenditures inflation climbed to 2.7% for 2026, up from 2.4% in December. The projection for core inflation, which excludes volatile food and energy prices and is more closely watched by the Fed, also rose to 2.7% from 2.5%.

However, the change in real GDP rose to 2.4% from 2.3% in December.

Fed funds futures were last pricing in just one rate cut in 2026, as well as the greater likelihood that the central bank may remain on hold, according to the CME FedWatch Tool.

— CNBC’s Gabriel Cortes and Jeff Cox contributed to this report.

DETROIT — General Motors is set to report its fourth-quarter and year-end earnings before the bell Tuesday.

Here’s what Wall Street is expecting, based on a survey of analysts by LSEG:

• Earnings per share: $2.20 adjusted expected
• Revenue: $45.8 billion expected

Those results would mark a 4% decline in revenue compared with a year earlier and a more than 14% increase in adjusted earnings per share.

GM’s 2024 fourth-quarter results included $47.7 billion in revenue, net loss attributable to stockholders of roughly $3 billion, and adjusted earnings before interest and taxes of $2.5 billion.

GM is expected to record $7.1 billion in special charges for the fourth quarter of 2025 related to its pullback in electric vehicles and restructuring efforts in China.

The charges, which GM announced earlier this month, will impact the automaker’s net income but not adjusted results.

Aside from the company’s results, investors will be watching the company’s guidance for this year. GM CEO Mary Barra earlier this month reconfirmed that the automaker expects 2026 will be better than 2025.  

GM’s 2025 guidance included adjusted earnings before interest and taxes of between $12 billion and $13 billion, or $9.75 to $10.50 adjusted EPS, and adjusted automotive free cash flow of $10 billion to $11 billion, up from $7.5 billion to $10 billion.

GM executives will host an earnings conference call at 8:30 a.m. EST.

This is developing news. Please check back for additional updates.

Goldman Sachs is scheduled to report fourth-quarter earnings before the opening bell Thursday.

Here’s what Wall Street expects:

• Earnings: $11.67 per share, according to LSEG
• Revenue: $13.79 billion, according to LSEG
• Trading revenue: Fixed income of $2.93 billion, equities of $3.70 billion, per StreetAccount
• Investing banking fees: $2.58 billion, per StreetAccount

Goldman Sachs is set up to be a beneficiary of several trends in the fourth quarter.

Trading desks across Wall Street have benefited in the last year as President Donald Trump’s policies have roiled markets for bonds, currencies, commodities and stocks.

For instance, rival JPMorgan Chase topped expectations for fourth-quarter results on equities and fixed income trading revenue that exceeded the StreetAccount estimate by a combined $460 million.

Global investment banking revenue in the quarter was 12% higher than a year ago, according to Dealogic, which should provide a boost to Goldman’s advisory business.  

The firm’s asset and wealth management division should also see gains as stock market levels remained buoyant in the quarter.

Finally, the bank said last week that its deal to offload its Apple Card business to JPMorgan would result in a 46-cents-per-share boost to quarterly results.

This story is developing. Please check back for updates.

JPMorgan Chase is scheduled to report fourth-quarter earnings before the opening bell Tuesday.

Here’s what Wall Street expects:

• Earnings: $5 a share, according to LSEG
• Revenue: $46.2 billion, according to LSEG
• Net interest income: $24.99 billion, according to StreetAccount
• Trading Revenue: Fixed income of $5.29 billion, equities of $2.55 billion, according to StreetAccount

JPMorgan will give investors a view into how consumers and corporations fared toward the end of last year and issue guidance on how 2026 may develop.

Banks have enjoyed a Goldilocks-type environment for the last few quarters, with a rebound in Wall Street trading and investment banking, falling interest rates, stable consumer credit and deregulation providing a lift for the sector. High stock levels have also buoyed banks’ wealth management divisions.

The KBW Bank Index climbed 29% last year, the second year in a row that the big bank benchmark exceeded the gains of the S&P 500.

So analysts will be keen to hear how much momentum from 2025 is expected to carry over into this year. Of particular concern is whether there are any cracks in spending amid signs that the labor market may be weakening, as well as guidance around the strength of Wall Street dealmaking.

JPMorgan Chase CEO Jamie Dimon will likely be asked about President Donald Trump’s demand for the industry to cap credit card rates at 10%, as well as questions over the independence of the Federal Reserve.

Bank of America, Citigroup and Wells Fargo are scheduled to report results Wednesday, with Goldman Sachs and Morgan Stanley reporting Thursday.

This story is developing. Please check back for updates.

American Eagle issued bullish holiday guidance and raised its full-year forecast on Tuesday after posting better-than-expected quarterly results. 

The apparel company is expecting fiscal fourth quarter comparable sales to grow between 8% and 9% – about four times better than the 2.1% analysts had anticipated, according to StreetAccount.

American Eagle is now expecting its full year adjusted operating income to be between $303 million and $308 million – up from its previous range of $255 million to $265 million. 

American Eagle shares rose as much as 15% in extended trading.

The company beat third-quarter expectations on the top and bottom lines. 

Here’s how American Eagle did during the quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:

• Earnings per share: 53 cents vs. 44 cents expected
• Revenue: $1.36 billion vs. $1.32 billion expected

The company’s reported net income for the three-month period that ended Nov. 1 was $91.34 million, or 53 cents per share, compared with $80.02 million, or 41 cents per share, a year earlier.  

Sales rose to $1.36 billion, up about 6% from $1.29 billion a year earlier.

The results are the first time investors are seeing a full quarter of impact from American Eagle’s splashy campaigns with Sydney Sweeney and Travis Kelce.

Companywide, American Eagle saw comparable sales grow 4%, better than the 2.7% analysts had expected, according to StreetAccount. While the business’s overall results topped expectations, they were primarily driven by Aerie, which saw comparable sales rise 11% and revenue jump about 13%. 

At American Eagle, where the campaigns were focused, comparable sales grew just 1%, worse than the 2.1% analysts had expected, according to StreetAccount. 

The company told CNBC the campaigns are “attracting more customers” and creating more attention around the brand, but the results show they have not yet been a major revenue driver.

However, they’re not having a major impact on profits, either. During the quarter, American Eagle’s operating margin was 8.3%, better than the 7.5% analysts had expected, according to StreetAccount. 

Beyond its marketing campaigns, American Eagle told CNBC it saw record revenue in its third quarter and that “strong momentum” carried into the current quarter, where it saw a “record breaking Thanksgiving weekend.”

The rosy holiday commentary comes after peers like Abercrombie & Fitch, Gap and Urban Outfitters posted better than feared results ahead of the crucial holiday shopping season. Investors have been watching discretionary retailers closely to look for slides in consumer demand because of tariffs, but many have proven resilient so far. They’re showing that for now, higher prices aren’t stopping consumers from shopping, as long as they feel like they’re getting good value for their money.

Industrywide holiday outlooks from outside consulting firms have been relatively murky, but the latest slate of earnings from discretionary retailers have been a positive omen for holiday sales. Plus, turnout during the so-called Turkey 5 shopping weekend, the five day stretch between Thanksgiving and Cyber Monday, was stronger than expected, according to the National Retail Federation.