1 Number Every Investor Needs to Look For When Nvidia, Alphabet, and Amazon Report Earnings, Whether You Own the Stocks or Not

The article argues that reported S&P 500 earnings growth is being inflated by large, volatile “other income” gains at major index heavyweights such as Nvidia, Alphabet, and Amazon. In Q1, Alphabet’s other income nearly matched its operating income, Amazon’s other income was a major contributor, and Nvidia also posted substantial investment gains. These gains largely reflect unrealized mark-to-market appreciation in stakes such as SpaceX, Anthropic, OpenAI, and Intel. The piece warns that this accounting effect could make the S&P 500 look cheaper and more profitable than underlying operations justify, helping explain why forward valuations have held up despite rising prices. It also highlights the risk that if these investments reverse, “other income” could sharply reduce reported earnings and pressure index valuations, especially if markets weaken in Q2 and beyond.