Yahoo Finance Want Better Returns? Don't Ignore These 2 Computer and Technology Stocks Set to Beat Earnings
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.
The earnings figure itself is key, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb even higher.
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.
Now that we understand what the ESP is and how beneficial it can be, let's dive into a stock that currently fits the bill. Jabil (JBL) earns a Zacks Rank #3 right now and its Most Accurate Estimate sits at $1.89 a share, just 13 days from its upcoming earnings release on June 15, 2023.
By taking the percentage difference between the $1.89 Most Accurate Estimate and the $1.88 Zacks Consensus Estimate, Jabil has an Earnings ESP of 0.43%.
JBL is one of just a large database of Computer and Technology stocks with positive ESPs. Another solid-looking stock is Lyft (LYFT).
Slated to report earnings on August 3, 2023, Lyft holds a #3 (Hold) ranking on the Zacks Rank, and it's Most Accurate Estimate is -$0.02 a share 62 days from its next quarterly update.
For Lyft, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of -$0.02 is 8.93%.
JBL and LYFT'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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Jabil, Inc. (JBL) : Free Stock Analysis Report
Lyft, Inc. (LYFT) : Free Stock Analysis Report
