Curtains are soon to fall on the second-quarter earnings season, with 454 S&P 500 members having reported their results.
As per the latest Zacks Earnings Trend report, these companies, accounting for 92.1% of the index’s total market capitalization, have reported a 3.7% drop in earnings on 0.7% revenue decline on a year-over-year basis.
Meanwhile, medical is one of the ten sectors in the S&P 500 cohort that is expected to witness earnings growth in the quarter. Notably, the sector is likely to record earnings growth of 4.7% on revenue improvement of 7.7%.
Healthcare, being an important component of the Medical sector, is expected to follow the same growth trajectory this earnings season.
Here, we take a look at two Healthcare stocks lined up to report their quarterly numbers:
Based in LA, Catasys, Inc. provides specialized behavioral health management services for health plans, employers and unions, through a network of licensed and company managed health care providers.
Catasys is scheduled to report its second-quarter earnings on Aug 12. The company is poised to gain momentum in the market with its OnTrak program, an exclusive solution providing ‘intensive care coaching’ with lowered costs, especially for the underserved populations.
Moreover, Catasys’ extensive network covering Texas, Florida, Georgia, Illinois, Kentucky, Louisiana, Massachusetts, New Jersey, among other regions, is also likely to fortify its market position.
However, our proven model does not predict a beat for the company, given the combination of a Zacks Rank #3 (Hold) and Earnings ESP of 0.00%.
This is because, as per our model, a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3, to beat estimates. Simultaneously, we caution against stocks with a Zacks Rank #4 or 5 (Sell-rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Headquartered in Oklahoma City, Foundation HealthCare, Inc. owns and operates surgical hospitals in Texas and Oklahoma. The company’s facilities provide care to patients seeking general surgeries, specialty surgeries and other ancillary services.
The company is scheduled to report its second quarter figures on Aug 15. The acquisition of Ninety Nine Healthcare Management (99MGMT), a physician practice management company, is a significant development for Foundation HealthCare in our view.
Nevertheless, Foundation HealthCare is not likely to beat estimates as it has a Zacks Rank #3 and Earnings ESP of 0.00%. We note the Most Accurate estimate and the Zacks Consensus Estimate for the company stand at a loss of 2 cents.
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Healthcare Stocks' Q2 Earnings in Queue: CATS & FDNH
Curtains are soon to fall on the second-quarter earnings season, with 454 S&P 500 members having reported their results.
As per the latest Zacks Earnings Trend report, these companies, accounting for 92.1% of the index’s total market capitalization, have reported a 3.7% drop in earnings on 0.7% revenue decline on a year-over-year basis.
Meanwhile, medical is one of the ten sectors in the S&P 500 cohort that is expected to witness earnings growth in the quarter. Notably, the sector is likely to record earnings growth of 4.7% on revenue improvement of 7.7%.
Healthcare, being an important component of the Medical sector, is expected to follow the same growth trajectory this earnings season.
Here, we take a look at two Healthcare stocks lined up to report their quarterly numbers:
Based in LA, Catasys, Inc. provides specialized behavioral health management services for health plans, employers and unions, through a network of licensed and company managed health care providers.
Catasys is scheduled to report its second-quarter earnings on Aug 12. The company is poised to gain momentum in the market with its OnTrak program, an exclusive solution providing ‘intensive care coaching’ with lowered costs, especially for the underserved populations.
Moreover, Catasys’ extensive network covering Texas, Florida, Georgia, Illinois, Kentucky, Louisiana, Massachusetts, New Jersey, among other regions, is also likely to fortify its market position.
CATASYS INC Price and EPS Surprise
CATASYS INC Price and EPS Surprise | CATASYS INC Quote
However, our proven model does not predict a beat for the company, given the combination of a Zacks Rank #3 (Hold) and Earnings ESP of 0.00%.
This is because, as per our model, a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3, to beat estimates. Simultaneously, we caution against stocks with a Zacks Rank #4 or 5 (Sell-rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Headquartered in Oklahoma City, Foundation HealthCare, Inc. owns and operates surgical hospitals in Texas and Oklahoma. The company’s facilities provide care to patients seeking general surgeries, specialty surgeries and other ancillary services.
The company is scheduled to report its second quarter figures on Aug 15. The acquisition of Ninety Nine Healthcare Management (99MGMT), a physician practice management company, is a significant development for Foundation HealthCare in our view.
FOUNDATION HLTH Price and EPS Surprise
FOUNDATION HLTH Price and EPS Surprise | FOUNDATION HLTH Quote
Nevertheless, Foundation HealthCare is not likely to beat estimates as it has a Zacks Rank #3 and Earnings ESP of 0.00%. We note the Most Accurate estimate and the Zacks Consensus Estimate for the company stand at a loss of 2 cents.
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 >>