This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that Paccar will most likely beat the consensus EPS estimate. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of 1.21%. The consensus EPS estimate for Paccar has been revised 1.2% higher over the last 30 days to the current level. This quarter's revenue is expected to be $7.1 billion, up 12.8% from the year-ago quarter. This estimate indicates a year-over-year change of +52.4%. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.Īmong the stocks in the Zacks Automotive - Domestic industry, Paccar (PCAR) is soon expected to post earnings of $2.24 per share for the quarter ended December 2022. Tesla doesn't appear a compelling earnings-beat candidate. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Over the last four quarters, the company has beaten consensus EPS estimates four times.Īn earnings beat or miss may not be the sole basis for a stock moving higher or lower. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.įor the last reported quarter, it was expected that Tesla would post earnings of $0.95 per share when it actually produced earnings of $1.05, delivering a surprise of +10.53%. While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, this combination makes it difficult to conclusively predict that Tesla will beat the consensus EPS estimate.ĭoes Earnings Surprise History Hold Any Clue? On the other hand, the stock currently carries a Zacks Rank of #5. This has resulted in an Earnings ESP of -9.52%. How Have the Numbers Shaped Up for Tesla?įor Tesla, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). Please note that a negative Earnings ESP reading is not indicative of an earnings miss. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. This insight is at the core of our proprietary surprise prediction model - the Zacks Earnings ESP (Expected Surprise Prediction). Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.Įstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. The consensus EPS estimate for the quarter has been revised 1.25% lower over the last 30 days to the current level. Revenues are expected to be $24.82 billion, up 40.1% from the year-ago quarter. This electric car maker is expected to post quarterly earnings of $1.05 per share in its upcoming report, which represents a year-over-year change of +23.5%.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. On the other hand, if they miss, the stock may move lower. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on January 25. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. Tesla (TSLA) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022.
0 kommentar(er)
