Weekly Q3 Earnings Recap: Detailed reports from 3-7 November

Analysis on AMD, Arista Networks, Hims/Hers, Palantir, Pfizer, Robinhood and Rivian

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The 3-7 Nov Earnings Week in Review:

The 7-day review period (November 3-7, 2025) captured a peak week of the Q3 2025 earnings season with hundreds of US mid- and large cap companies reporting. By week’s end, 91% of S&P 500 companies have now reported providing a strong indication of common trends.¹ The headline results are strong, with 82% of companies reporting a positive EPS surprise and 77% reporting a positive revenue surprise.¹ This has contributed to a blended Q3 earnings growth rate of 13.1%, marking the fourth consecutive quarter of double-digit earnings growth for the index.¹ This fundamental strength, however, has pushed market valuations to elevated levels. The S&P 500’s forward 12-month P/E ratio now stands at 22.7, significantly above both the 5-year average (20.0) and the 10-year average (18.6). This expensive backdrop creates a high bar for performance, where consensus beats are met with muted reactions and any miss, particularly on forward guidance, is severely punished.

Several key themes emerged this week. Artificial Intelligence continues to be a primary driver, propelling results at software and chip companies like Palantir (PLTR) and AMD however elevated expectations saw share prices retreat. A significant second-order effect of the AI trend is the surging demand for clean, reliable power for data centers, which has been a major tailwind for utilities. Bellwether reports this week provided critical inflection signals. Super Micro Computer (SMCI) delivered a large revenue and margin miss, signaling a major air pocket or competitive disruption in the AI server market. Uber (UBER) missed operating income and guided Q4 EBITDA below consensus, raising near-term margin concerns. Outside of tech, Pfizer (PFE) provided a strong “beat and raise” driven by its non-COVID portfolio, suggesting a potential fundamental bottoming for the pharma giant.

Also amongst non tech names, Healthcare device makers like Edwards Lifesciences beat forecasts and nudged up guidance amid improving procedure volumes, while some consumer-facing companies flashed warning signs: cosmetics high-flyer e.l.f. Beauty issued a sharp outlook cut as organic sales stalled, and language app Duolingo plunged on slowing bookings growth despite strong current metrics. Cost pressures and strategic shifts also featured: tariffs and cost inflation dented margins at e.l.f. and an HR services firm saw profits evaporate due to surging healthcare claims, whereas several software firms highlighted efficiency gains and improving profitability.

Earnings & Transcript Analysis on Notable Stocks:

We published Earnings Analysis and Transcript analysis on 7 companies for the week where investor interest is high or notable inflection points appeared. Here’s the recap and links to the reports:

• Rivian Automotive ($RIVN): Notable for the upcoming 1H2026 launch of the R2 model which may provide an opportunity for investors. For a company that has struggled to move its automotive gross profit into positive territory amidst high production costs, the R2 could be an important catalyst. The model, which opens up a far larger market segment to Rivian and is indicated to incur less than half the production costs of the R1, on back of envelope math at the entry $45k-$50k price point, suggests positive GP per unit as it scales. For now investors contend with a likely weak Q4 sales quarter as demand was pulled forward ahead of the September end of the EV tax credits.

• Pfizer Inc. ($PFE): With a stock price on its knees, the quarter was notable for showing a positive inflection in non COVID operating profit growth. Analysts are fretting about the Metsera bidding war and COVID revenue decline but with management tone improving measurably and a lot of negativity in the price at 7.9x forward P/E, a 13% forecast FCF yield (double its historic average), its an interesting value play. Consensus already prices declining sales and EPS out to FY28 but core cashflows and a potentially successful conclusion to the Metsera acquisition (dialing them into the fastest growing obesity segment of pharma right now) coupled with core non-COVID growth improving, could start to restore some confidence in 2026. Worth watching given its a value play.

• Robinhood Markets Inc ($HOOD): 100% YoY revenue growth and EPS tripling sums up their quarter. Product launches and ramp have been impressive but expectations were very high and volatile crypto volumes were at the core of the beat. The stock sold off along with other high growth names, and along with analyst EPS upgrades, the combination has actually seen a material P/E ratio de-rate already. What price for a stock that is a large beta on the market?

• Arista Networks ($ANET): Arista Networks (ANET) reported a mixed Q3 2025 that led to a sharp after-hours sell-off, as a solid earnings beat was overshadowed by a weak forward-looking guide. While Arista surpassed Q3 consensus with $2.31 billion in revenue (+27.5% YoY) and $0.75 in adjusted EPS, its Q4 outlook signaled a clear normalization. The two main concerns driving the stock down were a significant deceleration in growth (with Q4 revenue guidance implying only 1.8% sequential growth) and, more critically, an unexpected and severe drop in Q4 non-GAAP gross margin guidance to 62-63%, a steep fall from 65.2% in Q3. This guidance suggests profitability is peaking, forcing investors to re-evaluate the company’s premium valuation as the era of easy beats and margin expansion appears to be ending.

• Advanced Micro Devices ($AMD): AMD just posted an outstanding Q3 2025, smashing analyst estimates with record revenue of $9.25 billion, a 36% jump year-over-year, and management declared it a “clear step up” in the company’s growth trajectory. This bullishness was validated by a “rapidly scaling” AI business, backed by massive new partnership announcements with OpenAI and Oracle. However, despite the strong beat and an above-consensus Q4 revenue guide of $9.6 billion, the stock fell in after-hours trading. This appears to be a classic “sell the news” event; after a 100%+ run-up year-to-date, the stock was priced for absolute perfection, and the strong guidance likely wasn’t high enough to satisfy aggressive “whisper numbers,” giving profit-takers the perfect excuse to cash out.

• Palantir Technologies Inc ($PLTR): Overall, Palantir’s Q3 2025 results emphatically beat consensus expectations, with an 8.2% revenue surprise and a 23.5% adjusted EPS beat. Growth appears to be accelerating significantly, driven by a massive surge in the U.S. Commercial segment (+121% YoY) and record-breaking Total Contract Value (TCV) bookings. If possible, management tone got even more bullish but they called it an “anomalous quarter” and the stock has fallen since on profit taken and perhaps expectations that peak growth is in, with the stock being at one of the most extreme P/Sales multiples around.

• Hims and Hers Inc ($HIMS): reported Q3 2025 results that beat consensus targets for both Revenue and Adjusted EBITDA. However, this beat was somewhat overshadowed by questions raised with a sequential decline in profitability, a cut to full-year Adjusted EBITDA guidance and an implied significant slowdown in Q4 revenue growth, which sat below market expectations.