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Rush Enterprises (RUSHA) to Report Q4 Earnings: What's Ahead?

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Rush Enterprises, Inc. (RUSHA - Free Report) is scheduled to report fourth-quarter and 2018 financial results on Feb 14, before the market opens. In the last reported quarter, the company delivered a positive earnings surprise of 18.4%. Per the earnings trend, Rush Enterprises surpassed estimates in each of the trailing four quarters, the average beat being 26.6%.

Over the past three months, shares of Rush Enterprises have outperformed the industry it belongs to. The stock gained 0.2% against the industry’s 2.6% decline.

Let’s see, how things shaped up for the upcoming announcement.

Rush Enterprises, Inc. Price and EPS Surprise

 

Rush Enterprises, Inc. Price and EPS Surprise | Rush Enterprises, Inc. Quote

Factors Influencing This Quarter

Being a leading solutions provider to the commercial vehicle industry, Rush Enterprises owns and operates the largest network of commercial vehicle dealerships in the United States. Because of extensive activity across all market segments, the company witnessed solid Class 8 truck sales in third-quarter 2018. For the soon-to-be-released quarter, Class 8 new truck sales are also likely to be solid primarily due to large fleet deliveries, partly offset by unfavorable product mix.

In third-quarter 2018, medium-duty truck sales were solid due to strength in the construction sector, mainly in Florida and Texas. This positive trend is likely to continue in fourth-quarter 2018 due to healthy inventory of trucks.

Earnings Whispers

Our proven model does not conclusively predict earnings beat for Rush Enterprises this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen.

This is not the case here as you will see below.

Earnings ESP: Rush Enterprises’ Earnings ESP is 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 92 cents per share.

You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Rush Enterprises currently carries a Zacks Rank #2.

We caution against stocks with a Zacks Rank #4 or 5 (Sell-rated) going into earnings announcement, especially when the company is witnessing negative estimate revisions.

Stocks to Consider

Here are a few stocks from the same space, with the right combination of elements to outpace earnings estimates this time around:

Wabco Holdings Inc. (WBC - Free Report) has an Earnings ESP of +0.22% and it currently carries a Zacks Rank #3. Its fourth-quarter 2018 results are slated to release on Feb 15.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Allison Transmission Holdings, Inc. (ALSN - Free Report) has an Earnings ESP of +4.90% and it presently carries a Zacks Rank #3.

Westport Fuel Systems Inc. (WPRT - Free Report) has an Earnings ESP of +50.00% and it currently carries a Zacks Rank #3.

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