We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Auto Stocks Q2 Earnings on Jul 27: FCAU, ALSN, GT, SUP, FDML
Read MoreHide Full Article
The auto sector has been performing well so far in the Q2 earnings season. Nearly 27.3% of the sector’s companies have posted results as of Jul 22. These companies recorded 30.4% year-over-year growth in earnings and 7.8% in revenues, per our Earnings Preview report. In comparison, total S&P 500 companies that had reported through Jul 22 posted a 1.1% decline in earnings and a 2.6% rise in revenues.
By the end of Q2, auto sector earnings and revenue growth is projected to be around 18.4% and 2.1%, respectively. Meanwhile, total S&P 500 earnings and revenues are expected to decline 3.4% and 0.5% year over year, respectively.
Revenues of auto companies are being driven by strong sales in major markets like the U.S., Europe and China, in the first half of 2016. Meanwhile, the bottom line is benefiting from an increase in the sales of higher margin vehicle segments, such as SUVs and light trucks, due to low fuel prices. Nonetheless, the pressure to maintain the attractive incentives and deals may weigh upon margins for automakers. Sluggishness in some markets and expenses related to safety recalls are other hurdles. The negative impact of foreign currency translation also remains a headwind for the auto sector.
Among the many stocks lined up to report this week, let’s see what awaits these five auto stocks slated to release their second-quarter 2016 results on Jul 27.
Fiat Chrysler Automobiles N.V. carries a Zacks Rank #4 (Sell). Earnings ESP for the company is currently pegged at +9.76% as the Most Accurate estimate of 45 cents stands above the Zacks Consensus Estimate of 41 cents. We note that the company delivered a positive earnings surprise in the last quarter (read more: Fiat Chrysler Q2 Earnings: A Surprise in Store?)
Allison Transmission Holdings, Inc. (ALSN - Free Report) has an Earnings ESP of +6.35% and a Zacks Rank #3 (Hold). The Zacks Consensus Estimate for the quarter is currently pegged at 63 cents. Allison Transmission surpassed earnings estimates in three of the last four quarters. This resulted in a positive average surprise of 8.01%.
The Goodyear Tire & Rubber Company (GT - Free Report) currently carries a Zacks Rank #2 (Buy). The company has an Earnings ESP of -8.65% because the Most Accurate estimate of 95 cents stands below the Zacks Consensus Estimate of $1.04. Goodyear surpassed earnings estimates in each of the last four quarters. This resulted in a positive average surprise of 10.77% (read more: Goodyear to Report Q2 Earnings: What's in the Cards?)
Superior Industries International, Inc. (SUP - Free Report) has an Earnings ESP of 0.00% and a Zacks Rank #3. The Zacks Consensus Estimate for the quarter is currently pegged at 45 cents. Superior Industries beat earnings estimates in three of the trailing four quarters. This resulted in a positive average surprise of 28.49%.
Federal-Mogul Holdings Corporation carries a Zacks Rank #3. The Earnings ESP for the company is currently pegged at 0.00% as the Most Accurate estimate and the Zacks Consensus Estimate both stand at 31 cents. We note that the company delivered a positive earnings surprise in three of the last four quarters. This resulted in a positive average surprise of 28.11%.
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 >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Auto Stocks Q2 Earnings on Jul 27: FCAU, ALSN, GT, SUP, FDML
The auto sector has been performing well so far in the Q2 earnings season. Nearly 27.3% of the sector’s companies have posted results as of Jul 22. These companies recorded 30.4% year-over-year growth in earnings and 7.8% in revenues, per our Earnings Preview report. In comparison, total S&P 500 companies that had reported through Jul 22 posted a 1.1% decline in earnings and a 2.6% rise in revenues.
By the end of Q2, auto sector earnings and revenue growth is projected to be around 18.4% and 2.1%, respectively. Meanwhile, total S&P 500 earnings and revenues are expected to decline 3.4% and 0.5% year over year, respectively.
Revenues of auto companies are being driven by strong sales in major markets like the U.S., Europe and China, in the first half of 2016. Meanwhile, the bottom line is benefiting from an increase in the sales of higher margin vehicle segments, such as SUVs and light trucks, due to low fuel prices. Nonetheless, the pressure to maintain the attractive incentives and deals may weigh upon margins for automakers. Sluggishness in some markets and expenses related to safety recalls are other hurdles. The negative impact of foreign currency translation also remains a headwind for the auto sector.
Among the many stocks lined up to report this week, let’s see what awaits these five auto stocks slated to release their second-quarter 2016 results on Jul 27.
Fiat Chrysler Automobiles N.V. carries a Zacks Rank #4 (Sell). Earnings ESP for the company is currently pegged at +9.76% as the Most Accurate estimate of 45 cents stands above the Zacks Consensus Estimate of 41 cents. We note that the company delivered a positive earnings surprise in the last quarter (read more: Fiat Chrysler Q2 Earnings: A Surprise in Store?)
FIAT CHRYSLER Price and EPS Surprise
FIAT CHRYSLER Price and EPS Surprise | FIAT CHRYSLER Quote
Allison Transmission Holdings, Inc. (ALSN - Free Report) has an Earnings ESP of +6.35% and a Zacks Rank #3 (Hold). The Zacks Consensus Estimate for the quarter is currently pegged at 63 cents. Allison Transmission surpassed earnings estimates in three of the last four quarters. This resulted in a positive average surprise of 8.01%.
ALLISON TRANSMN Price and EPS Surprise
ALLISON TRANSMN Price and EPS Surprise | ALLISON TRANSMN Quote
The Goodyear Tire & Rubber Company (GT - Free Report) currently carries a Zacks Rank #2 (Buy). The company has an Earnings ESP of -8.65% because the Most Accurate estimate of 95 cents stands below the Zacks Consensus Estimate of $1.04. Goodyear surpassed earnings estimates in each of the last four quarters. This resulted in a positive average surprise of 10.77% (read more: Goodyear to Report Q2 Earnings: What's in the Cards?)
GOODYEAR TIRE Price and EPS Surprise
GOODYEAR TIRE Price and EPS Surprise | GOODYEAR TIRE Quote
Superior Industries International, Inc. (SUP - Free Report) has an Earnings ESP of 0.00% and a Zacks Rank #3. The Zacks Consensus Estimate for the quarter is currently pegged at 45 cents. Superior Industries beat earnings estimates in three of the trailing four quarters. This resulted in a positive average surprise of 28.49%.
SUPERIOR INDS Price and EPS Surprise
SUPERIOR INDS Price and EPS Surprise | SUPERIOR INDS Quote
Federal-Mogul Holdings Corporation carries a Zacks Rank #3. The Earnings ESP for the company is currently pegged at 0.00% as the Most Accurate estimate and the Zacks Consensus Estimate both stand at 31 cents. We note that the company delivered a positive earnings surprise in three of the last four quarters. This resulted in a positive average surprise of 28.11%.
FEDERAL MOGUL-A Price and EPS Surprise
FEDERAL MOGUL-A Price and EPS Surprise | FEDERAL MOGUL-A Quote
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 >>