As the technology sector's market leadership shows signs of moderating, Zacks Investment Research has identified five non-tech companies expected to deliver substantial earnings growth in 2026. The selected stocks span diversified industries including industrial infrastructure, retail, pharmaceuticals, and aerospace defense, signaling potential opportunities for investors seeking exposure beyond mega-cap technology holdings.
The research highlights MasTec in AI infrastructure development, Caterpillar in construction and mining equipment, Walmart in retail and e-commerce operations, Eli Lilly in pharmaceuticals with emphasis on weight-loss medications, and Howmet Aerospace in aerospace and defense applications. Each company is currently trading at five-year highs, with consensus expectations for double-digit earnings growth throughout 2026. The selections reflect broadening market participation across multiple economic sectors as growth drivers diversify.
Investors should note that valuations across these selections remain elevated, with forward price-to-earnings ratios ranging from 30 to 56. These multiples reflect market confidence in growth trajectories but warrant consideration alongside traditional valuation metrics. The concentration of these stocks near five-year peaks suggests investor optimism is already factored into current pricing, a consideration for those evaluating entry points and risk-adjusted returns.