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Computer Network Stocks' Q3 Earnings on Oct 26: INFN & NTGR
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After encountering the rough tides arising from the sluggishness in emerging markets such as China and Brazil, and the fears of challenging economic/political conditions in Europe post Brexit, the U.S. economy looks much steady now. The Q3 earnings season is underway, with results from 116 S&P 500 members already out.
Per the latest Earnings Preview report as of Oct 21, out of the 116 S&P 500 companies that have come up with their quarterly numbers, approximately 80.2% have posted positive earnings surprises, while 62.9% beat top-line expectations. According to the report, earnings for these companies are up 3.3% from the same period last year, while revenues have increased 1.8%.
The report projects that earnings for the total S&P 500 companies will improve 0.1% from the year-ago period, and total revenue will grow 1.5%. We will have a clearer picture once the earnings season gets into the groove.
Technology is likely to grab the limelight with several major companies including Apple Inc. (AAPL - Free Report) and Alphabet Inc. (GOOGL - Free Report) scheduled to report earnings this week. As per the Earnings Preview report, technology earnings are expected to be up 1.1% on 1.0% lower revenues. However, according to our model, if we exclude Apple, earnings for the rest of the sector are expected to grow 6.4%.
As of Oct 21, 33.3% of the Technology sector’s total market capitalization in the S&P 500 index had reported results. Total earnings of these companies were up 5% year over year with a whopping 88.2% surpassing earnings estimates. However, revenues were 0.2% lower when compared with the year-ago period.
Let’s see what’s in store for two major computer network stocks, both of which are scheduled to release quarterly numbers on Oct 26.
Infinera Corp. (INFN - Free Report) , which provides Digital Optical Networking systems to telecommunications carriers, cable operators and other service providers worldwide, will report third-quarter 2016 results. For the quarter, Infinera has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.
The Zacks Consensus Estimate for the quarter is pegged at a loss of 7 cents. Last quarter, the company posted a positive earnings surprise of 15.38%. Notably, Infinera has outperformed the Zacks Consensus Estimate in the trailing four quarters with an average positive earnings surprise of 31.74%.
Netgear Inc. (NTGR - Free Report) , which designs technologically advanced, branded networking products that address the specific needs of small business and home users,will report third-quarter 2016 results. For the quarter, Netgear has an Earnings ESP of 0.00% and a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for the quarter is pegged at 63 cents. Last quarter, the company posted a positive earnings surprise of 22.0%. Notably, Netgear has outperformed the Zacks Consensus Estimate in the trailing four quarters with an average positive earnings surprise of 26.76%.
This week, Zacks researchers have named 7 other stocks that look to break out even sooner than today's Bull of the Day. You can see these time-sensitive tickers free, and access additional trades that are not available to the public. Simply click here>>
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Computer Network Stocks' Q3 Earnings on Oct 26: INFN & NTGR
After encountering the rough tides arising from the sluggishness in emerging markets such as China and Brazil, and the fears of challenging economic/political conditions in Europe post Brexit, the U.S. economy looks much steady now. The Q3 earnings season is underway, with results from 116 S&P 500 members already out.
Per the latest Earnings Preview report as of Oct 21, out of the 116 S&P 500 companies that have come up with their quarterly numbers, approximately 80.2% have posted positive earnings surprises, while 62.9% beat top-line expectations. According to the report, earnings for these companies are up 3.3% from the same period last year, while revenues have increased 1.8%.
The report projects that earnings for the total S&P 500 companies will improve 0.1% from the year-ago period, and total revenue will grow 1.5%. We will have a clearer picture once the earnings season gets into the groove.
Technology is likely to grab the limelight with several major companies including Apple Inc. (AAPL - Free Report) and Alphabet Inc. (GOOGL - Free Report) scheduled to report earnings this week. As per the Earnings Preview report, technology earnings are expected to be up 1.1% on 1.0% lower revenues. However, according to our model, if we exclude Apple, earnings for the rest of the sector are expected to grow 6.4%.
As of Oct 21, 33.3% of the Technology sector’s total market capitalization in the S&P 500 index had reported results. Total earnings of these companies were up 5% year over year with a whopping 88.2% surpassing earnings estimates. However, revenues were 0.2% lower when compared with the year-ago period.
Let’s see what’s in store for two major computer network stocks, both of which are scheduled to release quarterly numbers on Oct 26.
Infinera Corp. (INFN - Free Report) , which provides Digital Optical Networking systems to telecommunications carriers, cable operators and other service providers worldwide, will report third-quarter 2016 results. For the quarter, Infinera has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). Please check our Earnings ESP Filter that enables you to find stocks that are expected to come out with earnings surprises.
The Zacks Consensus Estimate for the quarter is pegged at a loss of 7 cents. Last quarter, the company posted a positive earnings surprise of 15.38%. Notably, Infinera has outperformed the Zacks Consensus Estimate in the trailing four quarters with an average positive earnings surprise of 31.74%.
INFINERA CORP Price and EPS Surprise
INFINERA CORP Price and EPS Surprise | INFINERA CORP Quote
Netgear Inc. (NTGR - Free Report) , which designs technologically advanced, branded networking products that address the specific needs of small business and home users,will report third-quarter 2016 results. For the quarter, Netgear has an Earnings ESP of 0.00% and a Zacks Rank #3 (Hold).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for the quarter is pegged at 63 cents. Last quarter, the company posted a positive earnings surprise of 22.0%. Notably, Netgear has outperformed the Zacks Consensus Estimate in the trailing four quarters with an average positive earnings surprise of 26.76%.
NETGEAR INC Price and EPS Surprise
NETGEAR INC Price and EPS Surprise | NETGEAR INC Quote
Confidential from Zacks
This week, Zacks researchers have named 7 other stocks that look to break out even sooner than today's Bull of the Day. You can see these time-sensitive tickers free, and access additional trades that are not available to the public. Simply click here>>