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Top Stocks to Buy with Rising EPS Estimates After Earnings
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With rising earnings estimate revisions typically being the most influential factor to more upside in stocks, it’s noteworthy that several top-rated Zacks stocks have enjoyed this favorable trend after reporting their quarterly results last Thursday.
Covering a variety of sectors, here are four companies that are standing out in this regard making now an ideal time to buy their stocks with EPS estimates ripping higher over the last week.
AppFolio (APPF - Free Report) : Offering cloud-based software solutions for property management and legal industries, AppFolio is a technology stock that investors may want to keep their eyes on.
AppFolio posted Q1 earnings of $1.05 per share which beat the Zacks Consensus of $0.84 a share by 25%. More impressive, Q1 EPS soared from an adjusted loss of -$0.01 in the comparative quarter with the company seeing a 38% spike in quarterly sales which it attributed to its industry-leading innovation. Raising its revenue guidance for the year, AppFolio is projected to post high double-digit percentage growth on its top and bottom lines in FY24 and FY25.
Image Source: Zacks Investment Research
Even better, FY24 and FY25 EPS estimates are up 1% in the last week and AppFolio has now surpassed earnings expectations for eight consecutive quarters with an eye-popping average earnings surprise of 56.61% in its last four quarterly reports.
Image Source: Zacks Investment Research
Agnico Eagle Mines (AEM - Free Report) : As a gold miner, Agnico Eagle Mines is a basic material sector stock that may appeal to investors for defensive safety amid recent market volatility. With gold traditionally acting as a hedge against inflation, Agnico Eagle’s increased profitability as a gold producer is compelling with operations in Canada, Mexico, and Finland.
Agnico Eagle’s Q1 earnings of $0.76 per share came in 26% better than expected and soared 33% from $0.57 a share in the prior year quarter. Plus, Agnico Eagle has exceeded earnings expectations for nine consecutive quarters and FY24 EPS estimates have soared 7% since the company’s Q1 report last Thursday from projections of $2.58 a share to $2.77 per share.
Image Source: Zacks Investment Research
While FY25 EPS estimates have remained unchained over the last week, Agnico Eagle’s annual earnings are still forecasted to rise 10% next year with a 24% spike now expected on the company’s bottom line this year.
Image Source: Zacks Investment Research
ResMed (RMD - Free Report) : Among the medical sector, ResMed posted strong results for its fiscal third quarter as a global distributor of generators, masks, and related accessories for the treatment of sleep-disoriented breathing (SDB) among other respiratory disorders.
Earnings of $2.13 per share beat estimates by 11% and climbed 27% from $1.68 a share in the comparative quarter. Fiscal 2024 and FY25 EPS estimates are 1% and 2% higher in the last seven days respectively with ResMed's annual earnings now projected to jump 15% this year and expected to rise another 13% next year to $8.40 per share.
Image Source: Zacks Investment Research
Valero Energy (VLO - Free Report) : Last but not least, Valero Energy is an appealing stock to watch out of the energy sector as the largest independent refiner and marketer of petroleum products in the United States.
Valero’s Q1 earnings of $3.82 per share comfortably surpassed estimates of $3.18 a share by 20% despite dropping from an extremely competitive quarter that saw EPS at $8.27 per share a year ago. Better still, although Valero’s robust bottom line is expected to contract after an exceptional year, VLO still trades at just 9X forward earnings with FY24 EPS estimates spiking to $18.37 per share compared to $18.25 a share seven days ago. More enticing is that Valero has surpassed earnings expectations for a remarkable 32 consecutive quarters dating back to October of 2016.
Image Source: Zacks Investment Research
Bottom Line
These companies saw their stocks spike after impressively beating earnings expectations last week and more upside could be ahead considering EPS estimates for FY24 have trended higher afterwards. Correlating with such, these stocks all sport a Zacks Rank #2 (Buy).
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Top Stocks to Buy with Rising EPS Estimates After Earnings
With rising earnings estimate revisions typically being the most influential factor to more upside in stocks, it’s noteworthy that several top-rated Zacks stocks have enjoyed this favorable trend after reporting their quarterly results last Thursday.
Covering a variety of sectors, here are four companies that are standing out in this regard making now an ideal time to buy their stocks with EPS estimates ripping higher over the last week.
AppFolio (APPF - Free Report) : Offering cloud-based software solutions for property management and legal industries, AppFolio is a technology stock that investors may want to keep their eyes on.
AppFolio posted Q1 earnings of $1.05 per share which beat the Zacks Consensus of $0.84 a share by 25%. More impressive, Q1 EPS soared from an adjusted loss of -$0.01 in the comparative quarter with the company seeing a 38% spike in quarterly sales which it attributed to its industry-leading innovation. Raising its revenue guidance for the year, AppFolio is projected to post high double-digit percentage growth on its top and bottom lines in FY24 and FY25.
Image Source: Zacks Investment Research
Even better, FY24 and FY25 EPS estimates are up 1% in the last week and AppFolio has now surpassed earnings expectations for eight consecutive quarters with an eye-popping average earnings surprise of 56.61% in its last four quarterly reports.
Image Source: Zacks Investment Research
Agnico Eagle Mines (AEM - Free Report) : As a gold miner, Agnico Eagle Mines is a basic material sector stock that may appeal to investors for defensive safety amid recent market volatility. With gold traditionally acting as a hedge against inflation, Agnico Eagle’s increased profitability as a gold producer is compelling with operations in Canada, Mexico, and Finland.
Agnico Eagle’s Q1 earnings of $0.76 per share came in 26% better than expected and soared 33% from $0.57 a share in the prior year quarter. Plus, Agnico Eagle has exceeded earnings expectations for nine consecutive quarters and FY24 EPS estimates have soared 7% since the company’s Q1 report last Thursday from projections of $2.58 a share to $2.77 per share.
Image Source: Zacks Investment Research
While FY25 EPS estimates have remained unchained over the last week, Agnico Eagle’s annual earnings are still forecasted to rise 10% next year with a 24% spike now expected on the company’s bottom line this year.
Image Source: Zacks Investment Research
ResMed (RMD - Free Report) : Among the medical sector, ResMed posted strong results for its fiscal third quarter as a global distributor of generators, masks, and related accessories for the treatment of sleep-disoriented breathing (SDB) among other respiratory disorders.
Earnings of $2.13 per share beat estimates by 11% and climbed 27% from $1.68 a share in the comparative quarter. Fiscal 2024 and FY25 EPS estimates are 1% and 2% higher in the last seven days respectively with ResMed's annual earnings now projected to jump 15% this year and expected to rise another 13% next year to $8.40 per share.
Image Source: Zacks Investment Research
Valero Energy (VLO - Free Report) : Last but not least, Valero Energy is an appealing stock to watch out of the energy sector as the largest independent refiner and marketer of petroleum products in the United States.
Valero’s Q1 earnings of $3.82 per share comfortably surpassed estimates of $3.18 a share by 20% despite dropping from an extremely competitive quarter that saw EPS at $8.27 per share a year ago. Better still, although Valero’s robust bottom line is expected to contract after an exceptional year, VLO still trades at just 9X forward earnings with FY24 EPS estimates spiking to $18.37 per share compared to $18.25 a share seven days ago. More enticing is that Valero has surpassed earnings expectations for a remarkable 32 consecutive quarters dating back to October of 2016.
Image Source: Zacks Investment Research
Bottom Line
These companies saw their stocks spike after impressively beating earnings expectations last week and more upside could be ahead considering EPS estimates for FY24 have trended higher afterwards. Correlating with such, these stocks all sport a Zacks Rank #2 (Buy).