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We expect The Hain Celestial Group, Inc. (HAIN - Analyst Report), the distributor, marketer and seller of various natural and organic foods as well as personal care products, to beat expectations when it reports second-quarter fiscal 2013 results on Feb 5, 2013.

Why a Likely Positive Surprise?

Our proven model shows that Hain Celestial is likely to beat earnings because it has the right combination of two key components.

Positive Zacks ESP: Hain Celestial currently has an Earnings ESP (Read: Zacks Earnings ESP: A Better Method) of +2.90%. This is because the Most Accurate Estimate stands at 71 cents, while the Zacks Consensus Estimate is pegged at 69 cents.

Zacks Rank #2 (Buy): Note that stocks with Zacks Ranks of #1, #2 and #3 have a significantly higher chance of beating earnings estimates. The sell-rated stocks (Zacks Rank #4 and #5) should never be considered going into an earnings announcement.

The combination of Hain Celestial’s Zacks Rank #2 (Buy) and +2.90% ESP makes us very confident regarding a positive earnings beat on Feb 5.

What is Driving the Better than Expected Earnings?

A leader in natural food and personal care products with an array of well-known brands, Hain Celestial offers investors one of the strongest growth profiles in the industry. The company’s strategic investments plus continued efforts to contain costs, increase productivity, and enhance cash flows and margins have enabled it to deliver healthy results. Rise in consumption, innovative marketing and expanded distribution facilitated the company to post healthy sales and earnings numbers during first quarter 2013. The positive trend is seen in the trailing four-quarter average surprise of 5.3%.

Other Stocks to Consider

Here are some other companies you may want to consider as our model shows they have the right combination of elements to post an earnings beat:

Flowers Foods, Inc. (FLO - Snapshot Report), Earnings ESP of +4.00% and Zacks Rank #1 (Strong Buy)

J&J Snack Foods Corp. (JJSF - Snapshot Report), Earnings ESP of +5.00% and Zacks Rank #1 (Strong Buy)

The Hershey Company (HSY - Analyst Report), Earnings ESP of +0.95% and Zacks Rank #2 (Buy)

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