STOXX 600 earnings growth heads for four-year high at 25%

STOXX 600 companies are expected to post 25% aggregate third-quarter earnings growth, the strongest in four years, LSEG I/B/E/S estimates cited by Reuters showed on Thursday.

The forecast would mark a broader rebound than the 10% growth projected without energy companies, giving investors another support for European equities after the STOXX 600 reached a record high.

The estimates are based on results from 265 STOXX 600 companies that have already reported and forecasts for those still due to publish earnings, according to the LSEG I/B/E/S data cited by Reuters.

Energy is the largest driver of the expected profit expansion. Sector earnings are projected to rise nearly 151%, while the ex-energy growth estimate increased to 10% from 9.5% the previous week.

Revenue is also expected to improve. STOXX 600 third-quarter revenue is forecast to rise 12%, or 7% when energy companies are excluded, according to the same data.

UBS analysts said in a note on Thursday that earnings momentum is being helped by artificial-intelligence infrastructure investment, higher fiscal spending and consumer trends. The bank expects those drivers to support growth into 2027.

European shares strengthened on Thursday as investors responded to the earnings season, lower energy prices and a rotation away from AI-linked stocks in Asian and U.S. markets, Reuters reported. The STOXX 600 touched a record high, though the source did not provide an index level.

Individual results added to the market tone. Siemens rose 1.7% after the industrial technology company raised its medium-term growth outlook, while Adecco rose 14.7% after quarterly operating profit exceeded market expectations.

The next test comes next week, when nine STOXX 600 companies are scheduled to report results. French train maker Alstom is among the companies due to publish earnings.

Source: News article, The Economic Times citing Reuters, Nov. 13, 2026