The Q4 earnings season should be fully underway this week. As reporting gathers pace, investors are likely to shift their focus from developments around Trump, the Federal Reserve, and geopolitics toward corporate earnings releases.
Corporate earnings expectations have strengthened in recent quarters, with estimates trending steadily higher. While bottom-line results often grab the most attention during earnings season, top-line growth can offer deeper insight into a company’s underlying strength.
Why to Follow Revenue Growth This Reporting Cycle?
For Q4, total S&P 500 earnings are currently expected to be up 7.9% from the same period last year on 8.2% higher revenues, per the Earnings Trends issued on Jan. 7, 2026. For Q4, seven out of the Zacks classified 16 sectors of the S&P 500 will likely witness a decline in earnings while just two sectors are expected to see revenue decline.
Further, investors should note that sales are harder to be influenced in an income statement than earnings. A company can land up on decent earnings numbers by adopting cost-cutting or some other measures that do not speak for its core strength. But it is harder for a company to mold its revenue figure.
Below, we highlight five sectors and their related ETFs that could be used to book some profits on revenue growth potential.
Construction – Global X U.S. Infrastructure Development ETF PAVE
The sector is expected to record 17.8% revenue growth in Q4, following 1.5% expansion in the previous quarter. U.S. construction sector revenue shows steady growth. the construction market recorded robust growth during 2020-2024, achieving a CAGR of 7.3%, per a ResearchAndMarkets.com article.The sector likely have grown by 5.6% on annual basis to reach $1.27 trillion in 2025, per the above-mentioned source.
Technology – SPDR Technology Select Sector SPDR Fund XLK
The technology sector has been positioned strongly thanks to improving economic and industry fundamentals. The sector is expected to witness revenue growth of 16.3% in Q4 earnings, after 15.5% growth in Q3.
Aerospace – iShares U.S. Aerospace & Defense ETF ITA
The sector is expected to witness revenue growth of 12% in the ongoing reporting cycle, after 14.6% growth in Q3. The sector is best positioned to take advantage of geopolitical crisis and a rapidly growing space segment.
Finance – Vanguard Financials ETF VFH
The sector is expected to expand 9.4% in Q4 followed by 8.4% expansion in Q3. The sector benefits from higher investment banking fees and trading income. Favorable rate environment, steepening yield curve and loan demand also led to the revenue growth.
Utilities – State Street Utilities Select Sector SPDR ETF XLU
This sector is also expected to log 9.4% revenue growth in Q4 followed by 7.6% uptick in Q3. For decades, the utility sector has been viewed as the typical defensive play — a stable, slow-growth corner of the market offering reliable dividends. But the AI-driven surge in data-center construction is causing a sharp rise in U.S. electricity demand, transforming utilities from a defensive haven into one of the market’s fastest-growing sectors.
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State Street Technology Select Sector SPDR ETF (XLK): ETF Research Reports State Street Utilities Select Sector SPDR ETF (XLU): ETF Research Reports iShares U.S. Aerospace & Defense ETF (ITA): ETF Research Reports Vanguard Financials ETF (VFH): ETF Research Reports Global X U.S. Infrastructure Development ETF (PAVE): ETF Research ReportsThis article originally published on Zacks Investment Research (zacks.com).
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