Starbucks, Microsoft, and Meta are set to report earnings today after the market close, with investors focused on how the tech giants are managing massive artificial intelligence spending while Starbucks demonstrates sustained turnaround momentum.
Microsoft will report Q4 fiscal 2026 results at 4:30 p.m. ET, with Wall Street expecting revenue of $87.63 billion and earnings per share of $4.24, implying 15% growth during the quarter. Azure, the company’s cloud computing engine, is projected to grow 39% to 40%, continuing the acceleration that has powered Microsoft’s earnings outperformance this year.
Meta will report Q2 2026 earnings after the close, with analysts expecting revenue of $60.23 billion, up 27% year-over-year, and earnings per share of $7.14. The company raised its full-year 2026 capital expenditure guidance to $125 billion to $145 billion in April, a significant increase from its prior range of $115 billion to $135 billion, reflecting its push into artificial intelligence infrastructure and data center buildout.
Starbucks will release Q3 fiscal 2026 results after market close with consensus expectations of $9.11 billion in revenue and earnings per share of $0.65, representing 30% earnings growth year-over-year despite a projected 3.7% revenue decline. The coffee chain raised its full-year comparable sales guidance to at least 5% in July, up from its prior forecast of more than 3%, signaling confidence in its “Back to Starbucks” turnaround strategy.
These three earnings reports arrive during a critical moment for the market, as investors scrutinize whether big tech’s extraordinary capital spending on AI infrastructure is generating sufficient returns. According to J.P. Morgan analysis, AI capital expenditure has grown from 33% of hyperscalers’ cash flow from operations in 2023 to an estimated 93% in 2026, a dramatic shift that has raised questions about free cash flow sustainability.
Alphabet’s shares plunged more than 7% on July 26 after the company raised its 2026 capital expenditure guidance, marking its worst day in over a year. The market’s reaction underscores investor anxiety about whether tech giants can justify their spending surge. For Microsoft and Meta, today’s earnings and capital guidance updates will test whether the market’s appetite for AI investment remains strong or whether cost concerns are gaining ground.
Starbucks’ earnings come against a different backdrop. The company has been executing a successful turnaround under CEO Brian Niccol, with Q2 2026 showing 7% comparable sales growth in the United States, driven by a 4.4% increase in comparable transactions and a 2.6% increase in average ticket. The company shifted its China business to a 60/40 joint venture majority-owned by Boyu Capital in April, meaning future revenue from that market will be recognized as licensing fees rather than direct sales, which explains the projected revenue decline despite underlying sales momentum.
Wall Street has held analyst estimates steady heading into these reports, suggesting the market has priced in baseline expectations. For Microsoft and Meta, the real stock movers will likely be capital expenditure guidance for 2027 and commentary on return on AI investments. For Starbucks, investors will parse comparable sales trends by geography, gross margin progression, and management’s outlook on consumer spending patterns as inflation and fuel costs persist.
Sources
- Yahoo Finance — Microsoft Q4 earnings preview and revenue guidance
- Meta investor relations — Q1 2026 earnings and capex guidance updates
- AlphaStreet — Starbucks Q3 2026 earnings estimates and analyst consensus
- The Motley Fool — Starbucks Q2 2026 comparable sales growth and turnaround strategy details
- Fortune — Alphabet capex increase and market reaction on July 26
- Reuters — AI investment boom and big tech capex spending trends
- J.P. Morgan — AI capex as percentage of hyperscaler cash flow from operations
