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.
Consumer Staples Stocks' Earnings on May 2: MO, SPB and EPC
Read MoreHide Full Article
The first-quarter 2017 earnings season is in full swing with reports from 288 S&P 500 companies already out as of Friday, Apr 28. Per the latest Earnings Preview, earnings for the total S&P 500 companies are expected to improve 11.2% from the year-ago period, with total revenue anticipated to rise 6.2%.
Per the report, out of the 288 S&P 500 companies that have come up with their quarterly numbers, approximately 76.4% posted positive earnings surprises, while 68.1% outperformed top-line expectations. Total earnings for these index members were up 13.7% from the year-ago quarter, while revenues increased 8.2%.
In fact, the performance of the index is not restricted to a single sector, and of the 16 Zacks sectors, three are expected to witness an earnings decline. Of these, Autos and Transportation are likely to be the major drags.
Per the report, the earnings growth for the Consumer Staples sector looks decent. While total first-quarter earnings for the sector are estimated to rise 4.3%, revenues are projected to improve 4.0%. However, the sector is currently placed at bottom 38% of the Zacks Classified sectors (10 out of 16).
As of Apr 28, 40.6% of the total number of the S&P 500 companies in the Consumer Staples sector has reported their results. Out of these, 76.9% companies posted an earnings beat, while 23.1% surpassed revenue estimates.
So, let’s see what awaits the following Consumer Staples stocks that are queued up for earnings releases on May 2.
Altria Group, Inc. (MO - Free Report) is slated to report first-quarter 2017 results before the opening bell. Notably, its earnings have outpaced the Zacks Consensus Estimate in all the trailing four quarters, with an average of 2.5%.
Our proven model conclusively shows earnings beat for Altria this quarter. 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. You may uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Altria has an Earnings ESP of +1.35%. This is because the Most Accurate estimate of 75 cents is pegged higher than the Zacks Consensus Estimate of 74 cents. Moreover, the company’s Zacks Rank #3 increases the predictive power of ESP, thus making us confident of earnings beat.
Altria has been reporting upbeat earnings results since the last four consecutive quarters, on the back of company’s strong brand portfolio, shift to low-risk, smokeless tobacco products and strong pricing. The company’s flagship brand Marlboro has also been performing well, which gave a boost to its market share. (Read more: Is Altria Group Poised for a Beat This Earnings Season?)
Next, let’s take a sneak peek at Spectrum Brands Holdings, Inc. (SPB - Free Report) , which is slated to report second-quarter fiscal 2017 results. Notably, the company’s earnings have surpassed the Zacks Consensus Estimate in each of the trailing four quarters by an average of 8.9%.
Spectrum Brands has an Earnings ESP of +0.79%. This is because the Most Accurate estimate of $1.27 is pegged above the Zacks Consensus Estimate of $1.26. Moreover, the company’s Zacks Rank #3 increases the predictive power of ESP, thus making us confident of earnings beat. You can see the complete list of today’s Zacks #1 Rank stocks here.
Spectrum Brands Holdings, Inc. Price, Consensus and EPS Surprise
Spectrum Brands is gaining from innovative products in all categories and persistent leverage of its global infrastructure and shared services. Further, the company expects fiscal 2017 to witness sturdy sales and earnings growth on the back of global expansion, cost control and supply chain efficiencies. For fiscal 2017, Spectrum Brands projects net sales to grow more than category rates, somewhat offset by the unfavorable impact in the range of 100–150 basis points from the lingering foreign exchange headwinds. (Read more: Spectrum Brands Q2 Earnings: A Beat in the Cards?)
Finally, let’s see what’s in store for Edgewell Personal Care Company (EPC - Free Report) , which is slated report second-quarter fiscal 2017 results, before the market opens. The company has posted an average earnings miss of 0.6% in the trailing four quarters.
Edgewell has an Earnings ESP of +0.89%. This is because the Most Accurate estimate is $1.13, while the Zacks Consensus Estimate is pegged lower at $1.12. However, the company’s Zacks Rank #4 (Sell) makes our 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 revision.
We note that the Zacks Consensus Estimate for the to-be-reported quarter has decreased by a penny over the past seven days.
Sell These Stocks. Now.
Just released, today's 220 Zacks Rank #5 Strong Sells demand urgent attention. If any are lurking in your portfolio or Watch List, they should be removed immediately. These are sinister companies because many appear to be sound investments. However, from 1988 through 2016, stocks from our Strong Sell list have actually performed 6X worse than the S&P 500.
Image: Bigstock
Consumer Staples Stocks' Earnings on May 2: MO, SPB and EPC
The first-quarter 2017 earnings season is in full swing with reports from 288 S&P 500 companies already out as of Friday, Apr 28. Per the latest Earnings Preview, earnings for the total S&P 500 companies are expected to improve 11.2% from the year-ago period, with total revenue anticipated to rise 6.2%.
Per the report, out of the 288 S&P 500 companies that have come up with their quarterly numbers, approximately 76.4% posted positive earnings surprises, while 68.1% outperformed top-line expectations. Total earnings for these index members were up 13.7% from the year-ago quarter, while revenues increased 8.2%.
In fact, the performance of the index is not restricted to a single sector, and of the 16 Zacks sectors, three are expected to witness an earnings decline. Of these, Autos and Transportation are likely to be the major drags.
Per the report, the earnings growth for the Consumer Staples sector looks decent. While total first-quarter earnings for the sector are estimated to rise 4.3%, revenues are projected to improve 4.0%. However, the sector is currently placed at bottom 38% of the Zacks Classified sectors (10 out of 16).
As of Apr 28, 40.6% of the total number of the S&P 500 companies in the Consumer Staples sector has reported their results. Out of these, 76.9% companies posted an earnings beat, while 23.1% surpassed revenue estimates.
So, let’s see what awaits the following Consumer Staples stocks that are queued up for earnings releases on May 2.
Altria Group, Inc. (MO - Free Report) is slated to report first-quarter 2017 results before the opening bell. Notably, its earnings have outpaced the Zacks Consensus Estimate in all the trailing four quarters, with an average of 2.5%.
Our proven model conclusively shows earnings beat for Altria this quarter. 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. You may uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Altria Group Price, Consensus and EPS Surprise
Altria Group Price, Consensus and EPS Surprise | Altria Group Quote
Altria has an Earnings ESP of +1.35%. This is because the Most Accurate estimate of 75 cents is pegged higher than the Zacks Consensus Estimate of 74 cents. Moreover, the company’s Zacks Rank #3 increases the predictive power of ESP, thus making us confident of earnings beat.
Altria has been reporting upbeat earnings results since the last four consecutive quarters, on the back of company’s strong brand portfolio, shift to low-risk, smokeless tobacco products and strong pricing. The company’s flagship brand Marlboro has also been performing well, which gave a boost to its market share. (Read more: Is Altria Group Poised for a Beat This Earnings Season?)
Next, let’s take a sneak peek at Spectrum Brands Holdings, Inc. (SPB - Free Report) , which is slated to report second-quarter fiscal 2017 results. Notably, the company’s earnings have surpassed the Zacks Consensus Estimate in each of the trailing four quarters by an average of 8.9%.
Spectrum Brands has an Earnings ESP of +0.79%. This is because the Most Accurate estimate of $1.27 is pegged above the Zacks Consensus Estimate of $1.26. Moreover, the company’s Zacks Rank #3 increases the predictive power of ESP, thus making us confident of earnings beat. You can see the complete list of today’s Zacks #1 Rank stocks here.
Spectrum Brands Holdings, Inc. Price, Consensus and EPS Surprise
Spectrum Brands Holdings, Inc. Price, Consensus and EPS Surprise | Spectrum Brands Holdings, Inc. Quote
Spectrum Brands is gaining from innovative products in all categories and persistent leverage of its global infrastructure and shared services. Further, the company expects fiscal 2017 to witness sturdy sales and earnings growth on the back of global expansion, cost control and supply chain efficiencies. For fiscal 2017, Spectrum Brands projects net sales to grow more than category rates, somewhat offset by the unfavorable impact in the range of 100–150 basis points from the lingering foreign exchange headwinds. (Read more: Spectrum Brands Q2 Earnings: A Beat in the Cards?)
Finally, let’s see what’s in store for Edgewell Personal Care Company (EPC - Free Report) , which is slated report second-quarter fiscal 2017 results, before the market opens. The company has posted an average earnings miss of 0.6% in the trailing four quarters.
Edgewell has an Earnings ESP of +0.89%. This is because the Most Accurate estimate is $1.13, while the Zacks Consensus Estimate is pegged lower at $1.12. However, the company’s Zacks Rank #4 (Sell) makes our 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 revision.
We note that the Zacks Consensus Estimate for the to-be-reported quarter has decreased by a penny over the past seven days.
Sell These Stocks. Now.
Just released, today's 220 Zacks Rank #5 Strong Sells demand urgent attention. If any are lurking in your portfolio or Watch List, they should be removed immediately. These are sinister companies because many appear to be sound investments. However, from 1988 through 2016, stocks from our Strong Sell list have actually performed 6X worse than the S&P 500.
See today's Zacks "Strong Sells" absolutely free >>.