Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? MP Materials Corp. (MP), which belongs to the Zacks Mining - Miscellaneous industry, could be a great candidate to consider.
This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 121.05%.
For the most recent quarter, MP Materials Corp. Was expected to post earnings of $0.19 per share, but it reported $0.27 per share instead, representing a surprise of 42.11%. For the previous quarter, the consensus estimate was $0.14 per share, while it actually produced $0.42 per share, a surprise of 200%.
For MP Materials Corp.Estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. 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.
MP Materials Corp. Currently has an Earnings ESP of +15.91%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #2 (Buy) indicates that another beat is possibly around the corner.
When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
MP Materials Corp. (MP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
"corp" - Google News
July 11, 2023 at 11:10PM
https://ift.tt/e5tYIGT
Will MP Materials Corp. (MP) Beat Estimates Again in Its Next Earnings Report? - Yahoo Finance
"corp" - Google News
https://ift.tt/N89jSbU
Shoes Man Tutorial
Pos News Update
Meme Update
Korean Entertainment News
Japan News Update
Bagikan Berita Ini
0 Response to "Will MP Materials Corp. (MP) Beat Estimates Again in Its Next Earnings Report? - Yahoo Finance"
Post a Comment