For Immediate Release
Chicago, IL – January 10, 2019 – Zacks Value Trader is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here:
These 5 Companies Are Earnings Perfection
The “official” start to the fourth quarter 2018 earnings season is just a week away when JP Morgan and Bank of America will kick it off.
But traders need to get their earnings strategy in place now before all the action begins.
That means looking for the companies with the best earnings surprise track records on the Street.
What it Takes to Beat Every Quarter
Despite what you may think, it’s not easy to beat the earnings estimate quarter after quarter, year after year. Only a couple of dozen companies can say they have this record. It’s an elite group.
And it’s certainly not easy to beat for years under changing economic conditions. It takes skilled management, great communication with Wall Street analysts and maybe a little bit of luck along the way.
These 5 companies have done it. They are truly earnings all-stars. The best of the best.
Of course, past performance is no guarantee of future success. All companies end up missing at some point.
But, for now, these 5 companies have amazing earnings streaks on the line this earnings season.
Will they keep them?
5 Companies with Perfect Earnings Records
1. PayPal (PYPL - Free Report) is a bit of a cheater pick here but it still qualifies as being perfect so I’m including it. It hasn’t missed since its 2015 IPO. Sure, that’s not the full 5-year period. But it still has an impressive chart even though shares treaded water in 2018. Will they regain their momentum in 2019?
2. Abbott Labs (ABT - Free Report) has the best chart of the big drug stocks. Not only has it beat every quarter over the last 5 years but it’s last miss was all the way back in 2007. Think about what has occurred since that time (hint: the Great Recession). Yet Abbott kept beating. Shares are up 70% over the last 2 years.
3. UnitedHealth Group (UNH - Free Report) has one of the best charts on the Street. Not only has it beat every quarter the last 5 years but it’s track record extends back to 2008. That’s 10 years of beating. Impressive. Over the last two years, shares are up 50% versus the S&P 500 return of just 13%. Can the managed care companies keep out performing?
4. Lam Research (LRCX - Free Report) has seen its shares pull back off the early 2018 highs as the semiconductor stocks have entered the downward slope of their cycle. But that hasn’t stopped Lam from continuing to beat on earnings. Not only does it have a perfect 5-year track record but it’s last miss was back in 2012. Even with the recent decline in the shares, they’re still up 30% over the last 2 years compared with just 13% for the S&P 500.
5. Visa (V - Free Report) has the best chart on the Street. Period. Since it went IPO in 2008 it has NEVER missed. That’s beyond impressive. Investors have been rewarded during that time. Over the last 5 years, shares are up 140% versus the S&P 500 which is up 40% in that same period.
Zacks’ Best Private Investment Ideas
While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.
Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors.
Click here for Zacks' private trades >>
Zacks Investment Research
800-767-3771 ext. 9339
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.