Advertisement
Australia markets open in 33 minutes
  • ALL ORDS

    8,009.40
    -40.80 (-0.51%)
     
  • AUD/USD

    0.6443
    -0.0002 (-0.03%)
     
  • ASX 200

    7,752.50
    -35.60 (-0.46%)
     
  • OIL

    85.77
    +0.36 (+0.42%)
     
  • GOLD

    2,401.80
    +18.80 (+0.79%)
     
  • Bitcoin AUD

    98,273.54
    -3,419.48 (-3.36%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     

5 Stocks Likely to Gain on Q4 Earnings Today After Market Close

We are in the final phase of the fourth-quarter 2023 earnings season. Results are, so far, much better than expected. As of Feb 20, 402 companies on the S&P 500 Index reported their financial numbers. Total earnings for these index members are up 4.9% from the same period last year on 3.4% higher revenues, with 78.6% beating EPS estimates and 64.4% beating revenue estimates.

At present, total earnings of the S&P 500 Index in fourth-quarter 2023 are expected to be up 5.5% on 3.2% higher revenues. This would follow 3.8% earnings growth on 2% higher revenues in the third quarter and three back-to-back quarters of declining earnings before that.

Meanwhile, five large-cap (market capital > $10 billion) stocks are set to beat on earnings today after the closing bell. The combination of a favorable Zacks Rank and a possible earnings beat should drive their stock prices in the near term.

Stocks in Focus

We have narrowed our search to five large-cap stocks that are poised to beat on fourth-quarter earnings today after market closes. Each of these stocks carries a Zacks Rank 3 (Hold) and has a positive Earnings ESP. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

ADVERTISEMENT

Our research shows that for stocks with the combination of a Zacks Rank #3 or better and a positive Earnings ESP, the chance of an earnings beat is as high as 70%. These stocks are anticipated to appreciate after their earnings release. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Booking Holdings Inc. BKNG has been benefiting from strength in the overall travel demand environment, particularly in global leisure travel. This, in turn, has lowered cancellation rates. Strong momentum across merchants as well as advertising and other businesses boosted BKNG’s top-line growth.

Strong growth in rental car and airline ticket units is another positive. Strength across room nights and gross bookings, owing to BKNG’s favorable demand environment, bolstered its results. Further, strengthening alternative accommodation business and flight capabilities were the major positives.

Booking Holdings has an Earnings ESP of +2.07%. It has an expected earnings growth rate of 19.6% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 0.2% over the last 30 days. Booking Holdings recorded earnings surprises in the last four reported quarters, with an average beat of 16.4%.

American Homes 4 Rent AMH is an internally managed real estate investment trust. AMH is focused on acquiring, renovating, leasing, and operating single-family homes as rental properties. AMH rents residential properties primarily in Arizona, California, Florida, Georgia, and Nevada.

American Homes has an Earnings ESP of +1.68%. It has an expected earnings growth rate of 6.5% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 0.6% over the last 30 days. American Homes recorded earnings surprises in two out of the last four reported quarters, with an average beat of 1.9%.

Floor & Decor Holdings Inc. FND operates as a multi-channel specialty retailer and commercial flooring distributor in Georgia. FND offers tile, wood, laminate, vinyl, and natural stone flooring products, as well as decorative accessories, wall tiles, and installation materials and tools. FND also sells products through its Website, FloorandDecor.com. FND serves installers, commercial businesses, and other sectors.

Floor & Decor Holdings has an Earnings ESP of +4.87%. It has an expected earnings growth rate of 1% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 1.4% over the last 30 days. Floor & Decor Holdings recorded earnings surprises in three out of the last four reported quarters, with an average beat of 4.9%.

BioMarin Pharmaceutical Inc. BMRN is focused on the development and commercialization of treatments for serious life-threatening medical conditions, mostly for children. BMRN’s portfolio comprises seven marketed products namely, Aldurazyme, Naglazyme, Kuvan (a rare genetic enzyme deficiency disorder), Vimizim , Brineura, Palynziq and Voxzogo.

BMRN has a collaboration agreement with Sanofi's subsidiary Genzyme for Aldurazyme. Genzyme is BioMarin's sole customer for Aldurazyme and is responsible for marketing and selling Aldurazyme to third parties.

BioMarin Pharmaceutical has an Earnings ESP of +30.45%. It has an expected earnings growth rate of 49.4% for the current year. BioMarin Pharmaceutical recorded earnings surprises in two out of the last four reported quarters, with an average beat of 11.7%.

Pembina Pipeline Corp. PBA is a Canada-based vertically integrated operator of energy infrastructure assets. PBA is active throughout the hydrocarbon value chain, offering a complete range of midstream and marketing solutions.

PBA’s extensive network of conduits covers some of North America's most prolific basins. PBA’s mix of transportation and midstream assets includes conventional pipelines, oil sands pipelines, transmission pipelines, fractionator and gas processing plant.

Pembina Pipeline has an Earnings ESP of +0.45%. It has an expected earnings growth rate of 13.5% for the current year. The Zacks Consensus Estimate for current-year earnings has improved 7.2% over the last 60 days.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

The chart below shows the price performance of above-mentioned five stocks in the last quarter.

Zacks Investment Research
Zacks Investment Research


Image Source: Zacks Investment Research

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

BioMarin Pharmaceutical Inc. (BMRN) : Free Stock Analysis Report

Pembina Pipeline Corp. (PBA) : Free Stock Analysis Report

American Homes 4 Rent (AMH) : Free Stock Analysis Report

Floor & Decor Holdings, Inc. (FND) : Free Stock Analysis Report

Booking Holdings Inc. (BKNG) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research