Here’s why earnings will give investors something to smile about, according to one strategist

Earnings are about to kick into high gear, and one strategist says that this time around, the optimism around earnings is well-warranted.

According to Thomson Reuters IBES, analysts expect S&P 500 earnings to grow by about 10 percent should all reports meet expectations. All eyes are on the energy sector this time around, which are projected to see a huge improvement from last year, a sentiment echoed by PNC's global chief investment strategist Bill Stone.

"The good news is unlike last quarter and last year this quarter, you're likely to see energy actually make money," said Stone Tuesday on CNBC's "Futures Now." "That's where you see a big year over year change."

In fact, energy earnings are expected to grow by 603 percent from the same quarter last year with a 35 percent growth in revenue for the sector.

But even excluding energy earnings, analysts still project S&P earnings growing by more than 6 percent. Stone echoes the sentiment, pointing to the strong earnings predictions for other sectors as well.

"The financials look good, and it looks like we'll have some good technology numbers," he explained. "Even the one sector that looks really bad, which is industrials, is really being dragged down by airlines. But excluding the airlines, it's actually pretty flat."

Big banks Wells Fargo, Citigroup and JPMorgan are all set to report on Thursday. Wells Fargo and JPMorgan are expected to move more than 2 percent in either direction off their reports while Citigroup has an implied move of 3 percent.


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