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.
What's in Store for Ametek (AME) this Earnings Season?
Read MoreHide Full Article
Ametek Inc. (AME), one of the leading manufacturers of electronic instruments and electromechanical devices, is slated to report second quarter results on Aug 4. Last quarter, the company’s earnings matched the Zacks Consensus Estimate.
Let’s see how things are shaping up for this announcement.
Factors to Consider
Ametek’s first quarter revenues were negatively impacted by reduced demand stemming from the weakness in oil and gas, metals and global industrial markets.
However, management sounded upbeat on strong execution of its four core growth strategies of operational excellence, global market expansion, investments in product development and strategic acquisitions. This, in combination with a strong portfolio of differentiated businesses, is expected to help the company to post better results in the to-be reported quarter.
For the second quarter, management expects revenues to be down in low single digits compared with the second quarter of 2015. Earnings are expected to be in a range of 58 cents to 59 cents per share, down 8% to 9% from the second quarter of 2015.
Our proven model does not conclusively show that Ametek is likely to beat earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank of #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Both the Most Accurate estimate and the Zacks Consensus Estimate stand at 59 cents. Hence, the difference is 0.00%.
Zacks Rank: Ametek’s Zacks Rank #3 when combined with a 0.00% ESP makes surprise prediction difficult.
We caution against stocks with a Zacks Rank #4 or #5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some companies you may want to consider as our model shows they have the right combination of elements to post an earnings beat this quarter:
Avista Corp. (AVA - Free Report) with an Earnings ESP of +2.33% and Zacks Rank #2.
Alibaba Group Holding Limited (BABA - Free Report) with an Earnings ESP of +28.95% and Zacks Rank #3.
Paycom Software, Inc. (PAYC - Free Report) with an Earnings ESP of +7.69% and a Zacks Rank #3.
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 >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
What's in Store for Ametek (AME) this Earnings Season?
Ametek Inc. (AME), one of the leading manufacturers of electronic instruments and electromechanical devices, is slated to report second quarter results on Aug 4. Last quarter, the company’s earnings matched the Zacks Consensus Estimate.
Let’s see how things are shaping up for this announcement.
Factors to Consider
Ametek’s first quarter revenues were negatively impacted by reduced demand stemming from the weakness in oil and gas, metals and global industrial markets.
However, management sounded upbeat on strong execution of its four core growth strategies of operational excellence, global market expansion, investments in product development and strategic acquisitions. This, in combination with a strong portfolio of differentiated businesses, is expected to help the company to post better results in the to-be reported quarter.
For the second quarter, management expects revenues to be down in low single digits compared with the second quarter of 2015. Earnings are expected to be in a range of 58 cents to 59 cents per share, down 8% to 9% from the second quarter of 2015.
Earnings Whispers
AMETEK INC Price and EPS Surprise
AMETEK INC Price and EPS Surprise | AMETEK INC Quote
Our proven model does not conclusively show that Ametek is likely to beat earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank of #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Both the Most Accurate estimate and the Zacks Consensus Estimate stand at 59 cents. Hence, the difference is 0.00%.
Zacks Rank: Ametek’s Zacks Rank #3 when combined with a 0.00% ESP makes surprise prediction difficult.
We caution against stocks with a Zacks Rank #4 or #5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some companies you may want to consider as our model shows they have the right combination of elements to post an earnings beat this quarter:
Avista Corp. (AVA - Free Report) with an Earnings ESP of +2.33% and Zacks Rank #2.
Alibaba Group Holding Limited (BABA - Free Report) with an Earnings ESP of +28.95% and Zacks Rank #3.
Paycom Software, Inc. (PAYC - Free Report) with an Earnings ESP of +7.69% and a Zacks Rank #3.
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 >>