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3 Stocks to Watch After Impressive Earnings Beats

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In a somewhat quiet earnings lineup this week, several stocks are standing out after posting strong quarterly results on Monday.

As investors largely await Nvidia’s (NVDA - Free Report)  third quarter results next Tuesday, these companies shouldn’t be overlooked especially upon today’s news of better-than-expected CPI data in October.

Azenta (AZTA - Free Report) : Life sciences solutions company Azenta reported exhilarating results for its fiscal fourth quarter on Monday. Offering solutions for areas such as drug development, clinical research, and advanced cell therapies, Azenta’s Q4 earnings of $0.13 per share reassuringly surpassed estimates of $0.01 a share despite dipping from $0.16 per share a year ago.

Still, Azenta’s stock popped +14% today as Q4 sales of $172.36 million beat estimates by 5% and rose 25% from $137.57 million in the comparative quarter. Azenta’s stock currently sports a Zack Rank #1 (Strong Buy) as its fiscal 2024 earnings estimates had already ticked higher over the last 30 days indicating there could be more short-term upside for AZTA shares which are still down -6% YTD.

Zacks Investment Research
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Monday.com (MNDY - Free Report) : Along with Nvidia another tech stock that should be getting investors’ attention this earnings season is Monday.com after posting a glaring 255% EPS surprise with its third quarter earnings coming in at $0.64 per share versus estimates of $0.18 a share. This also soared from EPS of $0.05 a share in the prior year quarter as the software application building platform increases in popularity and profitability.

Monday.com was also able to beat top-line expectations with sales coming in at $189.19 million and 4% better than expected while rising 38% from $136.89 million in Q3 2022. Soaring +34% in 2023 after today’s +6% spike, Monday.com’s stock currently lands a Zack Rank #3 (Hold).

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Star Bulk Carriers (SBLK - Free Report) : Transportation solution provider Star Bulk Carriers rounds out this list of intriguing stocks to watch after crushing its Q3 top and bottom line expectations yesterday.

Star Bulk’s stock was up +2% today after Q3 earnings of $0.34 per share surpassed estimates of $0.17 a share by 100%. Quarterly sales of $223.09 million came in 16% better than expected. Although Star Bulk was facing a very tough to compete against prior year quarter its stock is only down -2% for the year and trades at a reasonable 9.1X forward earnings multiple. With a stronger-than-expected outlook Star Bulk’s stock currently sports a Zacks Rank #2 (Buy).

Zacks Investment Research
Image Source: Zacks Investment Research

Takeaway

These companies are benefiting from strong business environments with their respective Zacks Subindustry's all in the top 40 percentile of over 250 Zacks industries. The quarterly reports of Azenta, Monday.com, and Star Bulk reconfirmed this as their stocks start to stand out this earnings season.

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