Earnings for companies who have many sales in Europe are going to feel the impact of the euros double digit percentage drop over the next couple of quarters. I think some companies will be guiding lower due to this, today MCD released this news (Based on current exchange rates, McDonald's expects currency conversion to hurt full-year net income per share, versus its previous expectation for a slight benefit. The company, which gets more than half of its revenue and profits from outside the United States, gave no further details.) Guess, which garners 35% of sales from Europe, on May 27 lowered its second-quarter earnings guidance. "The euro has now weakened significantly below our planning assumptions," said Carlos Alberini, Guess' chief operating officer who left later to join Restoration Hardware as co-CEO. Big-cap companies on average generate 14% of sales in Europe, while small-cap stocks generally have less exposure, with 4% of sales, says S&P analyst Howard Silverblatt. The top 20 U.S. companies in European sales include General Electric (NYSE:GE - News), Ford (NYSE:F - News), Johnson & Johnson (NYSE:JNJ - News), Pfizer (NYSEFE - News), Kraft (NYSE:KFT - News), McDonald's (NYSE:MCD - News), Cisco Systems (NMS:CSCO), Coca-Cola (NYSE:KO - News), Best Buy (NYSE:BBY - News), Intel (NMS:INTC) and cruise ship operator Carnival (NYSE:CCL - News). Other companies include CAT MMM HPQ ORCL VMW