These 2 Oils-Energy Stocks Could Beat Earnings: Why They Should Be on Your Radar
Two factors often determine stock prices in the long run: earnings and interest rates. Investors can't control the latter, but they can focus on a company's earnings results every quarter.
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 Expected Surprise Prediction, or ESP, works by locking in on the most up-to-date analyst earnings revisions because they can be more accurate than estimates from weeks or even months before the actual release date. The thinking is pretty straightforward: analysts who provide earnings estimates closer to the report are likely to have more information. With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure.
The final step today is to look at a stock that meets our ESP qualifications. TC Energy (TRP) earns a Zacks Rank #3 29 days from its next quarterly earnings release on November 7, 2024, and its Most Accurate Estimate comes in at $0.71 a share.
TRP has an Earnings ESP figure of 2.47%, which, as explained above, is calculated by taking the percentage difference between the $0.71 Most Accurate Estimate and the Zacks Consensus Estimate of $0.69.
TRP is one of just a large database of Oils-Energy stocks with positive ESPs. Another solid-looking stock is Halliburton (HAL).
Halliburton is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on November 7, 2024. HAL's Most Accurate Estimate sits at $0.76 a share 29 days from its next earnings release.
For Halliburton, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $0.76 is 0.4%.
Because both stocks hold a positive Earnings ESP, TRP and HAL could potentially post earnings beats in their next reports.
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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TC Energy Corporation (TRP) : Free Stock Analysis Report
Halliburton Company (HAL) : Free Stock Analysis Report