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Can Terex (TEX) Keep the Earnings Streak Alive This Quarter?

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Looking for a stock that might be in a good position to beat earnings at its next report? Consider Terex Corporation (TEX - Free Report) , a firm in the Zacks Manufacturing - Construction and Mining industry, which could be a great candidate for another beat.

This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. In fact, in these reports, TEX has beaten estimates by at least 20% in both cases, suggesting it has a nice short-term history of crushing expectations.

Earnings in Focus

Two quarters ago, TEX expected to post earnings of 42 cents per share, while it actually produced earnings of 51 cents per share, a beat of 21.4%. Meanwhile, for the most recent quarter, the company looked to deliver earnings of 36 cents per share, when it actually delivered earnings of 50 cents per share, representing 38.9% positive surprise.

Terex Corporation Price and EPS Surprise

Thanks in part to this history, recent estimates have been moving higher for Terex. In fact, the Earnings ESP for TEX is positive, which is a great sign of a coming beat.

After all, the Zacks Earnings ESP compares the most accurate estimate to the broad consensus, looking to find stocks that have seen big revisions as of late, suggesting that analysts have recently become more bullish on the company’s earnings prospects. This is the case for TEX, as the firm currently has a Zacks Earnings ESP of +10.05%, so another beat could be around the corner.

This is particularly true when you consider that TEX has a great Zacks Rank #1 (Strong Buy) which can be a harbinger of outperformance and a signal for a strong earnings profile. You can see the complete list of today’s Zacks #1 Rank stocks here.

When you add this solid Zacks Rank to a positive earnings surprise happens nearly 70% of the time, so it seems pretty likely that TEX could see another beat at its next report, especially if recent trends are any guide.

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