As we delve into the world of stock market earnings reports, it is important to understand the significance of positive surprises and the potential impact they can have on a company’s stock price. With a plethora of companies in the S&P 500 preparing to release their earnings in the upcoming week, investors are eager to identify those that may receive an earnings-powered boost.
The article points out that the current earnings season has been predominantly positive, with 78% of S&P 500 companies reporting earnings surprises to the upside. Additionally, 59% of these companies have also exceeded revenue expectations. This data highlights the overall strength of the market and the potential for companies to outperform market projections.
By screening FactSet for S&P 500 companies reporting earnings in the coming week, CNBC Pro has identified a list of stocks that may experience a price boost following a positive earnings surprise. The criteria for selection include a minimum earnings per share of five cents, upwards earnings estimate revisions in the past three months, and consensus estimate percentage changes up at least 5% in the past three and six months.
Among the names on the list is ride-hailing platform Uber Technologies, which is set to report earnings on Tuesday. With 24 upwards revisions in the past three months, Uber has drawn attention from analysts and investors alike. Despite a 4% decline in its stock price this year, the company’s upcoming earnings report could provide a potential catalyst for a price boost.
Another company on the list is computing company Super Micro Computer, due to release earnings on Wednesday. Analysts have revised earnings estimates for the company 13 times in the last three months, indicating strong investor interest. Super Micro Computer stock has seen a remarkable 120% increase in 2021, driven by its exposure to artificial intelligence and its recent inclusion in the Nasdaq 100 index. Analysts remain bullish on the company’s growth prospects, with expectations of a raised revenue forecast for the upcoming quarters.
Energy company Vistra, financial services stock Fidelity National Information Services, and logistics firm Expeditors International of Washington are also included in the list of companies expected to report earnings in the upcoming week. These companies represent a diverse range of industries, each with its own potential for positive earnings surprises and subsequent stock price boosts.
The upcoming week presents an exciting opportunity for investors to capitalize on potential earnings-powered stock price boosts. By analyzing the trends in the market and identifying companies that meet specific criteria for positive surprises, investors can position themselves for potential gains in the stock market. It is essential for investors to conduct thorough research and due diligence before making investment decisions based on earnings reports and stock performance.