Morgan Stanley’s Wilson Sees Profit Boost for Stocks Beyond Tech

July 13, 2026

Breaking News

Image source: AI-generated with OpenAI

US stocks beyond the technology giants are poised to report strong earnings this season, broadening the equity rally, according to Morgan Stanley strategists.

The team led by Michael Wilson said the median S&P 1500 Composite Index constituent is generating earnings-per-share growth of more than 10%, the strongest performance since the post-COVID recovery.

Moreover, analysts continue to upgrade profit estimates for the consumer discretionary and transportation sectors, both of which are closely tied to economic growth.

"We expect the broadening to continue, driven by earnings resiliency from the median stock," Wilson wrote in a note.

The second-quarter earnings season kicks off on Tuesday with reports from the major banks.

Analysts expect S&P 500 companies to post a 23% jump in profits, according to Bloomberg Intelligence data, which would rank among the strongest readings outside of recoveries from major recessions.

That sets a high bar for equity benchmarks trading near all-time highs. Investors will again focus on technology companies for clues about AI demand and whether the outlook remains strong enough to support elevated semiconductor valuations. Yahoo Finance reports.

EdgeUp

🔊 SoundHound AI Stock’s $1.08 Billion Short Bet Just Grew — and CPI Week Is Next

SoundHound AI, Inc. enters the new week with 162.9 million shares sold short as of June 30, representing 41.3% of its public float.

Short interest—shares sold by investors betting on a decline and not yet repurchased—rose 1.2% from the prior reporting period, according to MarketBeat data published Friday.

The stock's 6.5 days-to-cover ratio means it would take an estimated 6.5 average-volume trading sessions for short sellers to close their positions.

The stock did not reflect that bearish positioning. SoundHound closed Friday at $6.64, down 0.6% on the day but up 1.4% from its July 2 close.

A total of 144.1 million shares traded between July 6 and July 10, meaning the June 30 short position equaled about 1.13 times the entire week's trading volume.

At Friday's closing price, the short position was worth approximately $1.08 billion, nearly 38% of the company's market value implied by the reported share count. TechStock² reports.

🧬 Why Q32 Bio Shares Are Trading Higher By Around 30%

Shares of Q32 Bio Inc. rose sharply in pre-market trading after the company announced it will report 36-week topline results from Part B of the SIGNAL-AA Phase 2a clinical trial on Monday.

Q32 Bio shares jumped 29.6% to $14.53 in pre-market trading. Benzinga reports.

📅 Earnings season kicks off and a wave of inflation data: What to watch this week

After a relatively quiet week on Wall Street, investors are heading into a busy stretch as second-quarter earnings season begins in earnest alongside a slate of key inflation and economic data releases.

The S&P 500 closed Friday up 0.4%, finishing the week with a 1.2% gain.

The Dow Jones Industrial Average rose 0.3% on Friday but ended the week down 0.5%.

The Nasdaq gained 0.3% on Friday, closing the week up 1.7%. Yahoo Finance reports.

💊 Pfizer scores FDA approval but Wall Street reaction muted

U.S. markets are closed for the weekend, leaving investors waiting to see whether Friday's FDA approval of Padcev with Keytruda will have a meaningful impact on Pfizer's earnings.

So far, the market reaction has been muted. Pfizer slipped 0.33% to $24.17 on Friday and is down 0.62% since its July 2 close before the Independence Day holiday.

The S&P 500 gained 1.2% last week.

The FDA approved the treatment based on data showing a 47% lower risk of recurrence, disease progression, or death, a strong clinical outcome.

However, investors are looking for evidence that bladder cancer drug sales can help offset Pfizer's upcoming patent expirations. TechStock² reports.

💾 Taiwan Semiconductor’s AI Boom Rolls On: June Revenue Jumps 68%

Taiwan Semiconductor Manufacturing Co. reported a sharp increase in June revenue on Monday, reflecting continued demand for advanced chips used in artificial intelligence applications. Benzinga reports.

Top 5 Movers in Early Pre-Market

(All pricing and percent gains are based on Early Pre-Market from 4:00 AM to 7:00 AM ET). Stock Analysis reports.

1) QTTB: Q32 Bio Inc.
Total gain: +83.50%

2) AGEN: Agenus Inc.
Total gain: +41.79%

3) MIMI: Mint Incorporation Limited
Total gain: +38.61%

4) TDIC: Dreamland Limited
Total gain: +16.30%

5) SKYQ: Sky Quarry Inc.
Total gain: +13.21%

Friday's Biggest Movers

The closing price of the top three market percent gainers trading near or above $3 on July 10.

(All pricing and percent gains are based on regular market trading hours from 9:30 AM to 4:00 PM ET) Stock Analysis reports.

1) GMM: Global Mofy AI Limited
Total gain: +147.03%
The stock appeared to be moving on no notable news.

2) NVVE: Nuvve Holding Corp.
Total gain: +55.69%
The stock appeared to be moving on no notable news.

3) AARD: Aardvark Therapeutics, Inc.
Total gain: +52.00%
The stock appeared to be moving on no notable news.

Today’s Notable Earnings

(Estimate and Actual numbers represent Earnings Per Share in US Dollars)

LGPS: LogProstyle
FY 2026
Before Market Open
Estimate: N/A
Actual: N/A

FBK: FB Financial
Q2 2026
After Market Close
Estimate: 1.150
Actual: N/A

Today’s Economic Dates

Time (ET) / Report / Period

5:25 AM - Federal Reserve Vice Chair Michelle Bowman speaks at Bank Policy Institute (BPI) roundtable - N/A
12:30 PM - Federal Reserve Governor Christopher Waller speaks at New York Association for Business Economics event - N/A
2:00 PM - Monthly Treasury Balance - June

Parting Thoughts

“There is no such thing as a good or bad stock. There are only cheap stocks and expensive stocks.”

– Howard Schilit

Sourced in: Financial Shenanigans.

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