雅虎香港財經 These 2 Retail-Wholesale Stocks Could Beat Earnings: Why They Should Be on Your Radar
Wall Street watches a company's quarterly report closely to understand as much as possible about its recent performance and what to expect going forward. Of course, one figure often stands out among the rest: earnings.
Life and the stock market are both about expectations, and rising above what is expected is often rewarded, while falling short can come with negative consequences. Investors might want to try to capture stronger returns by finding positive earnings surprises.
2 Stocks to Add to Your Watchlist
The Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company's report. The idea is relatively intuitive as a newer projection might be based on more complete information. The ESP is calculated by comparing the Most Accurate Estimate to the Zacks Consensus Estimate, with the percentage difference between the two giving us the Zacks ESP figure.
The final step today is to look at a stock that meets our ESP qualifications. Cava Group (CAVA) earns a Zacks Rank #2 27 days from its next quarterly earnings release on May 27, 2024, and its Most Accurate Estimate comes in at $0.04 a share.
By taking the percentage difference between the $0.04 Most Accurate Estimate and the $0.03 Zacks Consensus Estimate, Cava Group has an Earnings ESP of 55.56%.
CAVA is part of a big group of Retail-Wholesale stocks that boast a positive ESP, and investors may want to take a look at AutoZone (AZO) as well.
Slated to report earnings on May 28, 2024, AutoZone holds a #2 (Buy) ranking on the Zacks Rank, and it's Most Accurate Estimate is $35.85 a share 28 days from its next quarterly update.
AutoZone's Earnings ESP figure currently stands at 0.26% after taking the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $35.75.
CAVA and AZO's positive ESP metrics may signal that a positive earnings surprise for both stocks is on the horizon.
Find Stocks to Buy or Sell Before They're Reported
Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
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CAVA Group, Inc. (CAVA) : Free Stock Analysis Report
AutoZone, Inc. (AZO) : Free Stock Analysis Report
