If you want a stock that consistently beats profit forecasts and is poised to do so in its upcoming quarterly report, consider Suncor Energy (SU). This Zacks Oil and Gas - Integrated - Canadian business might surpass profits again.
This energy business has repeatedly exceeded profit projections in its previous two reports. In the prior two quarters, the firm on average beat projections by 24.37%.
Suncor Energy's last quarter earnings of $1.13 per share surprised the Zacks Consensus Estimate of $0.88 per share by 28.41%. Previous quarter profits were predicted to be $0.59 per share, but they were $0.71, a 20.34% surprise.
Due to this background, Suncor Energy profit projections have improved recently. The stock's strong Zacks Earnings ESP (Expected Surprise Prediction) and good Zacks Rank indicate an earnings beat.
Our research shows that stocks with a positive Earnings ESP and a Zacks Rank #3 (Hold) or better surprise roughly 70% of the time. Thus, if you have 10 stocks with this combination, seven may outperform the consensus forecast.
The Zacks Earnings ESP compares the Most Accurate Estimate to the quarter's Zacks Consensus Estimate, which is defined by change. Analysts adjusting their forecasts before an earnings announcement have the newest information, which may be more accurate than what they and others in the consensus projected previously.
Suncor Energy's profits ESP is +0.64%, indicating that analysts are optimistic about the company's profits. With the stock's Zacks Rank #3 (Hold) and strong Earnings ESP, another beat is likely. We predict the company's next earnings report on February 21, 2024.
When Earnings ESP is negative, investors should recognize that it loses predictive potential. A negative number doesn't indicate a stock's earnings shortfall. Many firms surpassed the consensus EPS prediction, but it may not be enough to boost their prices. However, certain equities may hold up while missing the consensus estimate.
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