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.
Computer Sciences (CSC) Q2 Earnings: Will it Surprise?
Read MoreHide Full Article
Computer Sciences Corporation is set to report fiscal second-quarter 2017 results on Nov 3. Last quarter, the company posted a positive earnings surprise of 17.78%. Let us see how things are shaping up for this announcement.
Factors to Consider
Computer Sciences Corporation is one of the leading players in the information technology services industry. The company reported better-than-expected first-quarter of fiscal 2017 results.
The merger with Hewlett Packard Enterprise Company’s (HPE - Free Report) business will further strengthen the company, allowing it to become a leading player in the IT services domain. Apart from this, it has been making strategic acquisitions to strengthen its portfolio, which should drive growth over the long run.
Additionally, the company’s traction in the cloud and partnerships with HCL, AT&T, VMware and Microsoft are expected to drive growth, going forward.
However, the company will likely face some challenges with regard to the integration of the new businesses and the costs associated with them. Apart from this, increased competition and delay in government’s order renewal process and constricted federal spending are the other concerns.
Our proven model does not conclusively show that Computer Sciencesis likely to beat the Zacks Consensus Estimate in its upcoming release. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. Unfortunately, this is not the case here as elaborated below.
Zacks ESP: The Earnings ESP for Computer Sciencesis -2.08%. This is because the Most Accurate estimate stands at 47 cents while the Zacks Consensus Estimate stand is pegged higher at 48 cents. Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.
Zacks Rank: Computer Sciences has a Zacks Rank #4 (Sell). We caution against stocks with a Zacks Rank #4 or 5 (Strong Sell) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are a couple of stocks, which you may consider as our model shows that they have the right combination of elements to post an earnings beat in their upcoming releases:
Methanex Corporation (MEOH - Free Report) with an Earnings ESP of +100.0% and a Zacks Rank #3
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Computer Sciences (CSC) Q2 Earnings: Will it Surprise?
Computer Sciences Corporation is set to report fiscal second-quarter 2017 results on Nov 3. Last quarter, the company posted a positive earnings surprise of 17.78%. Let us see how things are shaping up for this announcement.
Factors to Consider
Computer Sciences Corporation is one of the leading players in the information technology services industry. The company reported better-than-expected first-quarter of fiscal 2017 results.
The merger with Hewlett Packard Enterprise Company’s (HPE - Free Report) business will further strengthen the company, allowing it to become a leading player in the IT services domain. Apart from this, it has been making strategic acquisitions to strengthen its portfolio, which should drive growth over the long run.
Additionally, the company’s traction in the cloud and partnerships with HCL, AT&T, VMware and Microsoft are expected to drive growth, going forward.
However, the company will likely face some challenges with regard to the integration of the new businesses and the costs associated with them. Apart from this, increased competition and delay in government’s order renewal process and constricted federal spending are the other concerns.
COMP SCIENCE Price and EPS Surprise
COMP SCIENCE Price and EPS Surprise | COMP SCIENCE Quote
Earnings Whispers
Our proven model does not conclusively show that Computer Sciencesis likely to beat the Zacks Consensus Estimate in its upcoming release. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. Unfortunately, this is not the case here as elaborated below.
Zacks ESP: The Earnings ESP for Computer Sciencesis -2.08%. This is because the Most Accurate estimate stands at 47 cents while the Zacks Consensus Estimate stand is pegged higher at 48 cents. Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.
Zacks Rank: Computer Sciences has a Zacks Rank #4 (Sell). We caution against stocks with a Zacks Rank #4 or 5 (Strong Sell) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are a couple of stocks, which you may consider as our model shows that they have the right combination of elements to post an earnings beat in their upcoming releases:
Carmike Cinemas Inc. with Earnings ESP of +600.00% and a Zacks Rank #3 You can see the complete list of today’s Zacks #1 Rank stocks here
Methanex Corporation (MEOH - Free Report) with an Earnings ESP of +100.0% and a Zacks Rank #3
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>