Track market-moving stories before they get noisy

Crescent Energy (CRGY - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on November 2. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis oil and gas company is expected to post quarterly earnings of $0.59 per share in its upcoming report, which represents a year-over-year change of +68.6%.

Revenues are expected to be $1.14 billion, up 31.9% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 13.27% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Crescent Energy?For Crescent Energy, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%.

On the other hand, the stock currently carries a Zacks Rank of #2.

So, this combination makes it difficult to conclusively predict that Crescent Energy will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Crescent Energy would post earnings of $0.59 per share when it actually produced earnings of $0.69, delivering a surprise of +16.95%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Crescent Energy doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsGE Vernova (GEV - Free Report) , another stock in the Zacks Alternative Energy - Other industry, is expected to report earnings per share of $4.03 for the quarter ended September 2026. This estimate points to a year-over-year change of +145.7%. Revenues for the quarter are expected to be $12.1 billion, up 21.4% from the year-ago quarter.

The consensus EPS estimate for GE Vernova has been revised 3.3% lower over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +5.47%.

This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that GE Vernova will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Key Takeaways Trane Technologies' Q3 revenues are expected to rise 12.1% y/y to $6.44B, with EPS up 22.2% to $4.74.Strong commercial HVAC demand in the Americas is expected to lift segment revenues 16.2% y/y to $5.42B.Energy-efficient HVAC demand, the Stellar acquisition & robust backlogs are expected to support TT's growth. Trane Technologies plc (TT - Free Report) is set to report third-quarter 2026 earnings on Oct. 29, before the opening bell.

The company’s earnings surprise history has been impressive. It surpassed the Zacks Consensus Estimate in each of the trailing four quarters, delivering an earnings surprise of 2.1% on average. 

Trane Technologies Q3 Expectations for TTThe Zacks Consensus Estimate for revenues in the to-be-reported quarter is pegged at $6.44 billion, indicating a rise of 12.1% from the third-quarter 2025 actuals.

The Zacks Consensus Estimate for America's revenues is pegged at $5.42 billion, indicating a 16.2% increase from the year-ago figure. The segment’s result is likely to be boosted by strong demand for commercial heating, ventilation and air conditioning (HVAC) products in the Americas.

The consensus mark for Europe, the Middle East and Africa revenues is $735 million, indicating a 2% year-over-year decline. Continued Middle East disruptions are likely to have led to segment revenue decline.

For Asia Pacific, the consensus mark is pegged at $339.1 million, indicating a 2.9% increase from the year-ago figure.

Sustained demand for energy-efficient HVAC systems, particularly in data centers and commercial buildings, is expected to have boosted the company’s top line in the September-end quarter of 2026. The recent Stellar acquisition is anticipated to have contributed a large portion of revenues in the third quarter. 

The consensus estimate for earnings is pegged at $4.74 per share, indicating year-over-year growth of 22.2%. We expect robust bookings and backlogs to have benefited the bottom line in the quarter.

What Our Model Says About TTOur proven model predicts an earnings beat for TT this time around. A positive Earnings ESP combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Trane Technologies has an Earnings ESP of +0.36% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks to ConsiderHere are a few other stocks from the broader Business Services sector, which, according to our model, also have the right combination of elements to beat on earnings this season.

Mastercard Incorporated (MA - Free Report) has an Earnings ESP of +0.11% and a Zacks Rank of 2. The company is scheduled to report its third-quarter 2026 results on Oct. 29.

The Zacks Consensus Estimate for MA’s third-quarter 2026 revenues is pegged at $9.63 billion, indicating year-over-year growth of 12%. For earnings, the consensus mark is pegged at $5.14 per share, implying a 17.4% increase from the year-ago quarter’s actual.

Mastercard beat the consensus estimate in each of the trailing four quarters, with the average earnings surprise being 6.3%.

WEX Inc. (WEX - Free Report) has an Earnings ESP of +3.42% and a Zacks Rank of 2. The company is scheduled to declare its third-quarter 2026 results on Oct. 28.

The Zacks Consensus Estimate for WEX’s third-quarter 2026 revenues is pegged at $753 million, indicating 8.9% year-over-year growth. The consensus estimate for earnings is pegged at $5.63 per share, implying a year-over-year increase of 22.7%.

WEX beat the consensus estimate in each of the trailing four quarters, delivering an earnings surprise of 4.3% on average.

Choice Hotels (CHH - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on November 2. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis hotel franchiser is expected to post quarterly earnings of $2.26 per share in its upcoming report, which represents a year-over-year change of +7.6%.

Revenues are expected to be $454.9 million, up 1.7% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.17% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Choice Hotels?For Choice Hotels, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -0.22%.

On the other hand, the stock currently carries a Zacks Rank of #3.

So, this combination makes it difficult to conclusively predict that Choice Hotels will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Choice Hotels would post earnings of $1.97 per share when it actually produced earnings of $2.02, delivering a surprise of +2.54%.

Over the last four quarters, the company has beaten consensus EPS estimates two times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Choice Hotels doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Expected Results of an Industry PlayerAnother stock from the Zacks Hotels and Motels industry, Hyatt Hotels (H - Free Report) , is soon expected to post earnings of $0.68 per share for the quarter ended September 2026. This estimate indicates a year-over-year change of +326.7%. Revenues for the quarter are expected to be $1.77 billion, down 1% from the year-ago quarter.

The consensus EPS estimate for Hyatt Hotels has been revised 0.5% lower over the last 30 days to the current level. However, a lower Most Accurate Estimate has resulted in an Earnings ESP of -15.46%.

This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that Hyatt Hotels will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Key Takeaways Avery Dennison is expected to report Q3 revenues of $2.30B, up 4% y/y, with EPS falling 3%.Materials Group revenues are projected to rise, led by productivity gains and pricing actions.Solutions Group faces softer auto demand, while inventory destocking and rising costs may pressure results. Avery Dennison Corporation (AVY - Free Report) is scheduled to report third-quarter 2026 results before the opening bell on Oct. 29, 2026.

The Zacks Consensus Estimate for AVY’s third-quarter revenues is pegged at $2.30 billion, indicating a 4% rise from the year-ago reported figure.

The consensus estimate for AVY’s earnings has moved down in the past 60 days. The consensus estimate is pegged at $2.30 per share, indicating a year-over-year dip of 3%.

Image Source: Zacks Investment Research

AVY’s Earnings Surprise HistoryAvery Dennison’s earnings beat the Zacks Consensus Estimates in the trailing four quarters, the average surprise being 5.9%.

Image Source: Zacks Investment Research

What the Zacks Model Unveils for Avery DennisonOur proven model does not conclusively predict an earnings beat for AVY this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that is not the case here, as you can see below.

You can uncover the best stocks before they are reported with our Earnings ESP Filter.

Earnings ESP: Avery Dennison has an Earnings ESP of -0.53%.

Zacks Rank: AVY currently carries a Zacks Rank #3.

Factors Likely to Have Shaped AVY’s Q3 PerformanceAvery Dennison’s Materials Group segment continues to gain from productivity improvement and modest volume. Our model predicts the Materials Group segment’s revenues to rise 6.2% year over year in the quarter to $1.61 billion. The upside will be driven by growth in base business and high-value categories led by specialty labels, as well as contributions from productivity initiatives and pricing actions. Our estimate for the Materials Group segment’s adjusted operating profit is pinned at $235.5 million, indicating year-over-year growth of 2.3%.

High-value categories and productivity are expected to have aided the Solutions Group segment's growth. However, the segment is facing softer auto end-market demand and customer order timing in some higher-value platforms. Our model predicts the Solutions Group segment’s revenues to be $692 million, indicating a dip of 1% from the prior-year quarter’s actual. Our estimate for the segment’s operating profit is pinned at $72 million, implying an increase of 3.3% from the year-ago quarter’s reported figure.

AVY expects much of the customer inventory stocking recorded in the first half to unwind during the second half, with most destocking anticipated in the third quarter. The company consequently expects a greater-than-historical sequential earnings decline for that period. 

Rising input costs are expected to have impacted the company’s margins. The impacts are anticipated to have been offset by AVY’s productivity improvement and cost-saving actions.

Avery Dennison Stock’s Price PerformanceAVY shares have inched up 0.8% in the past year compared with the industry’s growth of 7.3%.

Image Source: Zacks Investment Research

Stocks That Warrant a LookHere are some companies with the right combination of elements to post an earnings beat in their upcoming releases.  

Eaton Corporation plc (ETN - Free Report) , slated to release third-quarter 2026 results on Nov. 3, has an Earnings ESP of +0.45% and a Zacks Rank of 2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Eaton’s third-quarter 2026 earnings is pegged at $3.53 per share, suggesting a year-over-year rise of 15%. ETN has a trailing four-quarter average surprise of 1.3%.

Emerson Electric Co. (EMR - Free Report) , slated to release fourth-quarter fiscal 2026 results on Nov. 4, has an Earnings ESP of +0.40% and a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for Emerson Electric’s fourth-quarter 2026 earnings is pegged at $1.84 per share, implying a year-over-year rise of 13%. EMR has a trailing four-quarter average surprise of 1.3%.

Deere & Company (DE - Free Report) , slated to release fourth-quarter fiscal 2026 results on Nov. 25, has an Earnings ESP of +1.86% and a Zacks Rank of 3 at present.

The Zacks Consensus Estimate for Deere’s fourth-quarter fiscal 2026 earnings is pegged at $4.07 per share, indicating a year-over-year rise of 3.6%. DE has a trailing four-quarter average surprise of 11.1%.

Key Takeaways JCI's Q4 earnings and revenues are expected to grow 25.4% and 8.1%, respectively, on a year-over-year basis.Strong HVAC demand in data centers and services growth are likely to boost JCI's Americas segment revenues.JCI's Earnings ESP of 1.55% signals a potential earnings beat, though rising costs may weigh on margins. Johnson Controls International plc (JCI - Free Report) is scheduled to release fourth-quarter fiscal 2026 (ended September 2026) financial numbers on Oct. 27, before market open.

The company’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters. The average surprise was 6.2%. In the last reported quarter, its earnings of $1.42 per share beat the consensus estimate of $1.32 by 7.6%.

The consensus estimate for revenues is pegged at $6.97 billion, indicating an increase of 8.1% from the year-ago quarter’s figure. The consensus estimate for adjusted earnings is pinned at $1.58 per share, indicating an increase of 25.4% from the year-ago quarter’s figure.

Key Factors and Estimates to Note Ahead of JCI’s Earnings ReleaseThe Americas segment is expected to have performed well, supported by solid demand for heating, ventilation and air conditioning (HVAC) platforms in data centers and strength in services businesses in the fiscal fourth quarter. The Zacks Consensus Estimate for the segment’s revenues is pegged at $4.88 billion, indicating a 12.7% increase from the year-ago figure.

The Europe, the Middle East, and Africa (EMEA) segment is expected to have benefited from strength in products and systems businesses. However, disruptions caused by the Middle East conflicts and lower non-recurring services volumes are likely to have affected the segment’s performance. The Zacks Consensus Estimate for the segment’s revenues is pegged at $1.24 billion, indicating a 7.6% decrease from the year-ago figure.

Persistent strength in the applied HVAC business, driven by growth in data center applications, is expected to augment the Asia Pacific segment’s results. The Zacks Consensus Estimate for the segment’s revenues is pegged at $858 million, indicating a 10% increase from the year-ago figure.

Investments in digital offerings, like the OpenBlue platform that plays an integral part in meeting customer needs, are expected to augment its results.

Despite the positives, rising cost of sales poses a threat to Johnson Controls’ bottom line. High organizational realignment and transaction/separation costs are expected to have pushed up its overall expenses, which are likely to have impacted its margins in the fiscal fourth quarter.

Earnings WhispersOur proven model predicts an earnings beat for JCI this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as elaborated below.

Earnings ESP: JCI has an Earnings ESP of +1.55% as the Most Accurate Estimate is pegged at $1.60 per share, which is higher than the Zacks Consensus Estimate of $1.58. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Zacks Rank: JCI currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks to ConsiderHere are some companies, which according to our model, also have the right combination of elements to beat on earnings in this reporting cycle.

Emerson Electric Co. (EMR - Free Report) has an Earnings ESP of +0.40% and a Zacks Rank of 2 at present. The company is scheduled to release fourth-quarter fiscal 2026 results on Nov. 4.

Emerson’s earnings beat the Zacks Consensus Estimate twice and matched on the other two occasions of the preceding four quarters, the average surprise being 1.3%.

Constellium (CSTM - Free Report) has an Earnings ESP of +14.50% and a Zacks Rank of 2 at present. The company is slated to release second-quarter 2026 results on Oct. 28.

Constellium’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 83.3%.

Kennametal Inc. (KMT - Free Report) has an Earnings ESP of +1.50% and a Zacks Rank of 3 at present. The company is slated to release first-quarter fiscal 2027 results on Nov. 4.

Kennametal’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 29.3%.

Allison Transmission (ALSN - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on November 2. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis automatic transmission maker is expected to post quarterly earnings of $2.47 per share in its upcoming report, which represents a year-over-year change of +51.5%.

Revenues are expected to be $1.47 billion, up 111.8% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.63% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Allison Transmission?For Allison Transmission, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -2.83%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Allison Transmission will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Allison Transmission would post earnings of $2.6 per share when it actually produced earnings of $2.73, delivering a surprise of +5.00%.

Over the last four quarters, the company has beaten consensus EPS estimates three times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Allison Transmission doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Expected Results of an Industry PlayerBorgWarner (BWA - Free Report) , another stock in the Zacks Automotive - Original Equipment industry, is expected to report earnings per share of $1.24 for the quarter ended September 2026. This estimate points to no change from the year-ago quarter. Revenues for the quarter are expected to be $3.51 billion, down 2.3% from the year-ago quarter.

The consensus EPS estimate for BorgWarner has been revised 1.1% lower over the last 30 days to the current level. However, a lower Most Accurate Estimate has resulted in an Earnings ESP of -1.45%.

When combined with a Zacks Rank of #3 (Hold), this Earnings ESP makes it difficult to conclusively predict that BorgWarner will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Key Takeaways Knight-Swift's Q3 EPS surged 159.4% to 83 cents, while revenues rose 14.2% to $2.20B, beating estimates.Truckload adjusted operating income soared 202.3%,led by stronger pricing & improved network efficiency.KNX projects Q4 EPS of 78-84 cents, with truckload revenues expected to grow at a low-double-digit rate.
Knight-Swift Transportation Holdings Inc. (KNX - Free Report) reported impressive third-quarter 2026 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. Stronger truckload pricing and improved network efficiency supported earnings growth.

However, the better-than-expected results failed to impress the market, as the stock has declined 3.1% since its earnings release on Oct. 21.

Image Source: Zacks Investment Research

Adjusted earnings of 83 cents per share beat the Zacks Consensus Estimate of 75 cents by 10.7% and surged 159.4% year over year. Total revenues of $2.20 billion surpassed the consensus estimate of $2.14 billion by 2.9% and increased 14.2% year over year. Truckload revenue per loaded mile, excluding fuel surcharge and intersegment transactions, increased 9.7%.

KNX's Consolidated Profitability ImprovesRevenues, excluding truckload and less-than-truckload (LTL) fuel surcharge, increased 7.7% year over year to $1.85 billion. Operating income surged 255.1% to $178.71 million, while adjusted operating income advanced 87.4% to $198.55 million.

The consolidated operating ratio (operating expenses as a percentage of revenues) improved 550 basis points to 91.9%. The adjusted operating ratio improved 450 basis points to 89.3%, reflecting pricing and network efficiency gains. Adjusted net income increased 164.9% to $135.87 million.

Knight-Swift's Truckload Margins ExpandTruckload total revenues increased 14% year over year to $1.41 billion. Revenues, excluding fuel surcharge and intersegment transactions, rose 6.5% to $1.15 billion, despite a 3% decline in loaded miles.

Adjusted operating income surged 202.3% to $124.63 million. The adjusted operating ratio improved 700 basis points to 89.2%, benefiting from stronger pricing, improved loaded miles per tractor and a 170-basis-point reduction in empty miles.

Average revenue per tractor increased 10.9% to $56,419, while average tractor count declined 4% to 20,470. Revenues per total mile, excluding fuel surcharge, increased 12.2%, outpacing the 3.8% rise in adjusted cost per mile.

U.S. Xpress continued improving profitability, with its over-the-road division achieving a mid-90s adjusted operating ratio.

KNX's LTL Revenues Rise, Margins Face PressureLTL total revenues increased 10.1% year over year to $434.52 million. Revenues, excluding fuel surcharge, edged up 0.4% to $341.70 million, supported by a 4% increase in revenue per shipment, partially offset by a 1.4% decline in daily shipments.

Daily tonnage increased 3.3%, while weight per shipment and length of haul rose 4.8% and 6.2%, respectively, reflecting improvements in freight mix.

Adjusted operating income declined 8.4% to $29.37 million, primarily owing to lower gains on asset sales. The adjusted operating ratio deteriorated 80 basis points to 91.4%.

Knight-Swift's Logistics and Intermodal PerformanceLogistics revenues declined 1% year over year to $138.97 million. Revenue per load jumped 46.7%, offset by a 32.6% decline in load count. Adjusted operating income grew 19.6% to $9.57 million, while the adjusted operating ratio improved 120 basis points to 93.1%.

Logistics gross margin expanded 110 basis points year over year and 350 basis points sequentially to 18.9%, benefiting from contractual pricing improvements and easing capacity costs.

Intermodal revenues climbed 30.6% to $122.88 million, supported by a 13.3% increase in load count and a 15.2% rise in revenue per load.

The segment generated adjusted operating income of $2.76 million compared with $0.16 million a year ago. Its adjusted operating ratio improved 200 basis points to 97.8%.

KNX's Other Businesses Deliver Strong GrowthAll Other Segments' revenues increased 41.8% year over year to $126 million, driven by growth in warehousing and independent contractor support services.

Operating income rose 68.4% to $19.50 million. The improvement reflected revenue growth and a more favorable comparison with the prior-year loss contingency, partially offset by accounts receivable securitization costs.

Knight-Swift's Liquidity and Cash Flow ImproveKnight-Swift exited September with $1.7 billion in unrestricted cash and available liquidity. Net debt stood at $2.1 billion, while stockholders' equity totaled $7.1 billion.

Operating cash flow for the first nine months of 2026 increased to $799.88 million from $543.43 million a year ago. Free cash flow reached $373.2 million after net capital expenditures of $426.7 million.

KNX's Fourth-Quarter Outlook Signals GrowthFor fourth-quarter 2026, KNX expects adjusted earnings of 78-84 cents per share. Truckload revenues, excluding fuel surcharge, are projected to increase by a low-double-digit percentage, with the adjusted operating ratio improving 650-750 basis points year over year.

LTL revenues, excluding fuel surcharge, are expected to grow by a high-single-digit to low-double-digit percentage. Intermodal revenues are projected to increase 25-30%, while Logistics revenues are expected to remain flat.

Management narrowed its full-year 2026 net cash capital expenditure forecast to $600-$625 million from $600-$650 million.

Currently, KNX carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Q3 Performance of Other Transportation CompaniesAlaska Air Group, Inc. (ALK - Free Report) reported third-quarter 2026 adjusted earnings of 36 cents per share, excluding certain tax impacts, beating the Zacks Consensus Estimate of 35 cents by 2.9%. The company had reported adjusted earnings of $1.05 per share a year earlier. Higher fuel expenses weighed on profitability despite strong revenue momentum.

Operating revenues increased 14.4% year over year to $4.30 billion but missed the consensus mark of $4.31 billion marginally by 0.1%.

Wabtec Corporation (WAB - Free Report) reported mixed third-quarter 2026 results, wherein earnings surpassed the Zacks Consensus Estimate, but revenues missed the same.

Quarterly earnings (excluding 41 cents from non-recurring items) of $2.83 per share beat the Zacks Consensus Estimate of $2.72 by 4.04% and increased 22% year over year. Revenues climbed 8.1% year over year to $3.12 billion but missed the consensus mark of $3.18 billion by 2%. The 12-month backlog increased 8.8% to $8.99 billion.

NEW YORK, Oct. 26, 2026 (GLOBE NEWSWIRE) -- Progyny, Inc. (Nasdaq: PGNY), a global leader in women's health and family building solutions, today announced findings from a new clinical outcomes study showing significant improvements in menopause symptoms among members receiving care through its Menopause and Midlife program. The research found that more than 70% of members in the study experienced improvement in their menopause symptoms, with the greatest gains observed among those who received both personalized coaching and care from menopause-trained providers.

The findings, detailed in Progyny's new white paper, Beyond the Hype: Evidence for a Connected Model of Menopause Care, come during Menopause Awareness Month and as demand for menopause support continues to grow, yet access to evidence-based care remains limited, inconsistent, and difficult to navigate. In an expanding marketplace of menopause solutions offering widely varying levels of clinical support, the research underscores the importance of a connected care model that integrates education, personalized guidance, and specialized clinical care to help women navigate this critical life stage.

“Menopause has historically been underdiscussed and undertreated. Growing awareness is an important step forward, but awareness alone isn’t enough,” said Dr. Janet Choi, Chief Medical Officer, Progyny. “Women need reliable education and access to knowledgeable providers who offer evidence-based care tailored to their individual symptoms, health needs and goals. With so many products and treatments promoted today, employers also need confidence that the benefits they invest in connect employees to care grounded in clinical best practices, tailored to improve their health and well-being.”

Key findings from the study include:

More than 70% of members in the study experienced symptom improvement: 70.8% of members reported an overall improvement in menopause symptoms, with an average 7.1-point improvement on the Menopause Rating Scale (MRS), a validated assessment of 11 common symptoms scored in severity on a scale from 0 to 44.Coaching plus menopause-trained provider care was associated with the greatest improvements: Members who received both experienced an average 7.6-point improvement in MRS scores, compared with 3.3 points among those who received coaching alone.Significant improvements were observed across all 11 measured symptoms: Members experienced reductions in hot flashes (52%), vaginal dryness (50%), cardiac symptoms (48%), and depressive mood (45%), among other symptoms.Sleep disturbance fell 42%, addressing a symptom linked to cardiometabolic risk.Women with severe symptoms also experienced meaningful relief: 40.4% of members who initially reported severe symptoms moved into a lower symptom severity category.
Addressing a growing gap in menopause care

Despite increasing attention to menopause in the workplace, many women continue to face challenges finding qualified providers and navigating treatment options. As recently as 2023, fewer than one-third of OB-GYN residency programs included menopause management training, contributing to gaps in specialized care.

These challenges have a direct impact on employee well-being and performance. Research published in Mayo Clinic Proceedings estimated that menopause-related symptoms contribute to $1.8 billion in annual lost productivity in the United States due to missed workdays alone.

Progyny's findings highlight the potential value of a more comprehensive approach to menopause support. Its Menopause and Midlife program combines evidence-based education, one-on-one coaching from clinically trained Progyny Care Advocates, and access to a curated network of menopause-trained providers. The model is designed to help members understand their symptoms, navigate treatment options, and access appropriate clinical care based on individual needs.

“A few months ago...the only thing I knew about menopause was that hot flashes were involved. While I was having hot flashes, the brain fog and joint pain were more debilitating. I felt like a shell of a human when I first contacted Progyny. [My Progyny Care Advocate] was very supportive, kind, understanding, and patient. She oriented me on my benefit and connected me with [a menopause provider]. I have a new lease on life. I feel so fortunate,” said one Progyny member.

The full white paper, Beyond the Hype: Evidence for a Connected Model of Menopause Care, is available here.

About Progyny

Progyny is a global leader in women’s health and family building solutions, trusted by leading employers, health plans, and benefit purchasers worldwide. Through its comprehensive and personalized approach, Progyny supports members across fertility and family building, pregnancy and postpartum, menopause and midlife, and parent and child well-being journeys. Progyny combines differentiated clinical care, integrated pharmacy support through Progyny Rx®, and personalized guidance from Progyny Care Advocates® to deliver improved member experiences and better health outcomes. For more information, visit www.progyny.com.

About the study

The analysis was a retrospective longitudinal review of members enrolled in Progyny's Menopause and Midlife program during 2025–2026. The clinical outcomes sample included 179 members who completed an initial Menopause Rating Scale assessment during their first coaching call and a follow-up assessment an average of 109 days later. Findings reflect observed associations within the study population and do not establish causation.

For Further Information, Please Contact:

Media:
Alexis Ford
[email protected]

Investors:
James Hart
[email protected]

NEW YORK, Oct. 26, 2026 (GLOBE NEWSWIRE) -- Levi & Korsinsky, LLP highlights the contrast between Doximity, Inc.'s (NYSE: DOCS) public promises and its reported results for investors who purchased or acquired securities between August 8, 2024 and May 13, 2026. Check if you might be eligible to recover your investment losses. You may also contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.

DOCS declined $8.29 per share (13%) on November 7, 2025, $5.59 per share (17%) on February 6, 2026, and a further $5.38 per share (23%) on May 14, 2026. LEAD PLAINTIFF DEADLINE: November 16, 2026.

The Promise

Quarter after quarter, the Company projected strength: record engagement, a Newsfeed described as its "most used and most monetized product," more than 1 million quarterly active prescribers, and double-digit growth in articles read or tapped. Management told the market it was confident in its competitive position and its ability to gain market share, and it reaffirmed a growth trajectory for fiscal 2026 built on that engagement story.

The Reality

Results revealed a different trajectory. On February 5, 2026, Doximity lowered its fiscal 2026 revenue guidance and reported decelerating sales growth alongside contracting net income. On May 13, 2026, the Company missed that already-reduced guidance and projected significantly slower growth for fiscal 2027. Analysts observed that older formats "are losing share while programmatic, social, and other new formats are gaining share," and that stalled net revenue retention pointed to an "increasingly competitive market."

The Numbers: Promised vs. Actual

Promised: record engagement driving revenue growth. Actual: sales growth decelerated and net income contracted, as reported on February 5, 2026.Promised: fiscal 2026 revenue guidance reaffirmed. Actual: guidance lowered February 5, 2026, then missed on May 13, 2026.Promised: confidence in gaining market share. Actual: coverage attributed the slowdown to share loss to programmatic and social competitors.Promised: "deep engagement" advertising with no e-newsletter product. Actual: the lawsuit alleges heavy reliance on banner ads and email newsletters.Promised: an anomaly "not something that we expect to continue." Actual: a third decline, with shares closing at an all-time low of $18.01. What the Lawsuit Alleges About the Gap

The gap demonstrates, according to the complaint, that Doximity overstated the impact its Newsfeed had on revenue growth and misstated its competitive position while purchasers paid allegedly inflated prices.

"Companies that make specific promises to investors about future performance have an obligation to disclose known risks to those projections. The complaint alleges that Doximity reaffirmed a growth story while its share position and engagement model were allegedly deteriorating." -- Joseph E. Levi, Esq.

Learn more about the case or call (212) 363-7500.

Levi & Korsinsky, LLP | Top 50 Securities Firm | (212) 363-7500 | www.zlk.com | Attorney Advertising. Prior results do not guarantee similar outcomes.

Frequently Asked Questions About the DOCS Lawsuit

Q: What specific misstatements does the DOCS lawsuit allege? A: The complaint alleges Doximity, Inc. made materially false or misleading statements regarding the impact of its "Newsfeed" product on revenue growth, its competitive position and market share, and its reliance on "light engagement" advertising formats such as banner ads and email newsletters during the Class Period. When the missed guidance and slower projected growth were disclosed, the stock price declined sharply.

Q: When did Doximity allegedly mislead investors? A: The Class Period runs from August 8, 2024 to May 13, 2026. The complaint alleges that multiple corrective disclosures events revealed information that caused significant stock declines.

Q: What court was the DOCS class action filed in? A: The case was filed in the United States District Court for the Northern District of California, governed by the Private Securities Litigation Reform Act of 1995.

Q: What do DOCS investors need to do right now? A: Investors may gather brokerage records showing purchase dates, share quantities, and prices paid. Submit your information for a no-cost, no-obligation evaluation of your potential recovery. No immediate action is required to remain eligible as an absent class member.

Q: What is a lead plaintiff and why does it matter? A: A lead plaintiff is the investor appointed by the court to represent the entire class. Lead plaintiffs are typically investors with the largest documented losses. Being appointed does not increase individual recovery but gives direct oversight of how the case is run.

Q: What if I already sold my DOCS shares -- can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.

Q: What does it cost me to participate? A: There is no upfront cost to submit your information and review whether you may be eligible to recover. Should you choose to participate in the securities class action, they are generally handled on a contingency basis, with any attorneys' fees and expenses subject to court approval.

Q: How long will the lawsuit take to resolve? A: Securities class actions typically take two to four years from initial filing to resolution. Timing depends on the court schedule, case developments, and whether the matter is dismissed, settled, or litigated further.

CONTACT:

Levi & Korsinsky, LLP

Joseph E. Levi, Esq.

Ed Korsinsky, Esq.

33 Whitehall Street, 27th Floor

New York, NY 10004

[email protected]

Tel: (212) 363-7500

Fax: (212) 363-7171

Attorney Advertising. Prior results do not guarantee similar outcomes.

Key Takeaways CLF's Q3 adjusted EPS of 28 cents beat estimates by 16.7%, while revenues rose 18.5% to $5.61 billion.Cleveland-Cliffs' steelmaking cash margin surged to $685 million as average steel selling prices rose 14.1%.CLF expects Q4 adjusted EBITDA of $715 million and projects the metric to exceed $4 billion in 2027.
Cleveland-Cliffs Inc. (CLF - Free Report) reported third-quarter 2026 adjusted earnings of 28 cents per share, beating the Zacks Consensus Estimate of 24 cents by 16.7%. The company had posted an adjusted loss of 45 cents per share in the year-ago quarter.

Revenues rose 18.5% year over year to $5.61 billion, surpassing the consensus estimate of $5.58 billion by 0.6%. Higher steel selling prices, increased shipment volumes and improved cost performance supported the results. Steel shipments rose 3% year over year to 4.15 million net tons.

Consolidated cost of goods sold increased 7.7% year over year to $5.15 billion from $4.78 billion. Selling, general and administrative expenses rose to $153 million from $130 million. Restructuring and other charges declined to $1 million from $3 million.

CLF's Steelmaking Business HighlightsSteelmaking revenues increased 19.4% year over year to $5.45 billion from $4.56 billion. The segment generated a cash margin of $685 million, up from $205 million in the prior-year quarter, reflecting stronger pricing and improved operating performance.

The average net selling price per net ton of steel products was $1,177, up 14.1% from $1,032 a year earlier. The metric also increased 4.7% sequentially from $1,124 in the second quarter of 2026.

External steel sales volumes increased 3.1% sequentially from 4.025 million net tons. Hot-rolled products accounted for 46% of third-quarter shipments, followed by coated products at 31%, cold-rolled products at 15% and plate and stainless and electrical products at 4% each.

Financial Position of CLFCliffs ended September 2026 with cash and cash equivalents of $77 million, up from $57 million at the end of 2025. Long-term debt stood at $7.65 billion compared with $7.25 billion as of Dec. 31, 2025. Total liquidity was $3.2 billion at the end of September.

Cleveland-Cliffs’ OutlookCleveland-Cliffs expects fourth-quarter 2026 adjusted EBITDA of approximately $715 million, representing a sequential increase of 16.8%. Higher steel pricing is expected to support performance, partially offset by seasonal factors, planned maintenance outages, increased input costs and incentive compensation accruals.

Management also expects adjusted EBITDA to exceed $4 billion in 2027, based on recently negotiated customer contracts and prevailing steel price forecasts. The company cited reduced steel imports, extended lead times and improving domestic market conditions as favorable factors supporting its outlook.

Cliffs believes several initiatives aimed at strengthening future earnings are progressing more favorably than previously anticipated. Management also expects Stelco's contribution to adjusted EBITDA to increase as the Canadian operation shifts its production emphasis toward hot-rolled steel.

CLF’s Price PerformanceShares of CLF have gained 1% over the past year compared with the 49.2% rise in its industry. 

Image Source: Zacks Investment Research

CLF’s Zacks Rank & Other Key PicksCLFcurrently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the Basic Materials space are Reliance, Inc. (RS - Free Report) , Avino Silver & Gold Mines Ltd. (ASM - Free Report) and Avient Corporation (AVNT - Free Report) .

RS currently sports a Zacks Rank #1 (Strong Buy), while ASM and AVNT carry a Zacks Rank #2 each. You can see the complete list of today’s Zacks #1 Rank stocks here

The Zacks Consensus Estimate for RS’ 2026 earnings is pegged at $23.70 per share, indicating a 66.2% year-over-year surge. RSshares have gained 49.1% over the past year.

The Zacks Consensus Estimate for ASM’s current fiscal-year earnings is pinned at 28 cents per share. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 75%.

The Zacks Consensus Estimate for AVNT’s 2026 earnings is pegged at $3.2 per share, indicating a year-over-year rise of 13.48%. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 3.4%.

Wall Street analysts expect Reddit Inc. (RDDT - Free Report) to post quarterly earnings of $1.30 per share in its upcoming report, which indicates a year-over-year increase of 62.5%. Revenues are expected to be $886.35 million, up 51.5% from the year-ago quarter.

Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.

Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.

While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.

Bearing this in mind, let's now explore the average estimates of specific Reddit Inc. metrics that are commonly monitored and projected by Wall Street analysts.

Analysts expect 'Revenue- Other revenue' to come in at $43.04 million. The estimate indicates a change of +21% from the prior-year quarter.

Analysts' assessment points toward 'Revenue- Advertising revenue' reaching $843.64 million. The estimate indicates a year-over-year change of +53.6%.

The consensus estimate for 'Revenue- United States' stands at $702.19 million. The estimate points to a change of +46.3% from the year-ago quarter.

The average prediction of analysts places 'Revenue- International' at $184.55 million. The estimate suggests a change of +75.8% year over year.

Analysts forecast 'DAUq (Daily Active Uniques) - U.S.' to reach 53.37 million. The estimate is in contrast to the year-ago figure of 51.60 million.

Based on the collective assessment of analysts, 'ARPU - U.S.' should arrive at $12.92 . Compared to the present estimate, the company reported $9.04 in the same quarter last year.

The consensus among analysts is that 'DAUq (Daily Active Uniques) - International' will reach 80.13 million. Compared to the current estimate, the company reported 64.40 million in the same quarter of the previous year.

The combined assessment of analysts suggests that 'ARPU - Global' will likely reach $6.67 . The estimate compares to the year-ago value of $5.04 .

It is projected by analysts that the 'DAUq (Daily Active Uniques) - Global' will reach 133.36 million. Compared to the present estimate, the company reported 116.00 million in the same quarter last year.

Analysts predict that the 'WAUq - Global' will reach 531.10 million. Compared to the current estimate, the company reported 443.80 million in the same quarter of the previous year.

According to the collective judgment of analysts, 'WAUq - International' should come in at 333.62 million. Compared to the current estimate, the company reported 256.00 million in the same quarter of the previous year.

The collective assessment of analysts points to an estimated 'WAUq - U.S.' of 197.49 million. The estimate is in contrast to the year-ago figure of 187.80 million.

View all Key Company Metrics for Reddit Inc. here>>>

Over the past month, Reddit Inc. shares have recorded returns of -3.7% versus the Zacks S&P 500 composite's -1.2% change. Based on its Zacks Rank #3 (Hold), RDDT will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Tennant (TNC - Free Report) is expected to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on November 2. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis maker of products for cleaning floors, parking lots and hospitals is expected to post quarterly earnings of $0.93 per share in its upcoming report, which represents a year-over-year change of -36.3%.

Revenues are expected to be $326.15 million, up 7.5% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 3.44% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Tennant?For Tennant, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +7.03%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Tennant will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Tennant would post earnings of $1.23 per share when it actually produced earnings of $0.83, delivering a surprise of -32.52%.

Over the last four quarters, the company has beaten consensus EPS estimates just once.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Tennant doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Expected Results of an Industry PlayerAnother stock from the Zacks Manufacturing - General Industrial industry, RBC Bearings (RBC - Free Report) , is soon expected to post earnings of $3.55 per share for the quarter ended September 2026. This estimate indicates a year-over-year change of +23.3%. Revenues for the quarter are expected to be $516.18 million, up 13.4% from the year-ago quarter.

The consensus EPS estimate for RBC Bearings has been revised 0.1% higher over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +1.22%.

When combined with a Zacks Rank of #4 (Sell), this Earnings ESP makes it difficult to conclusively predict that RBC Bearings will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Nebius CEO Arkady Volozh went on a podcast to reassure investors that his company can fund a gigawatt of AI capacity, but the words he chose to do it raised more questions than they answered.

Neocloud stocks drew attention Monday after Elon Musk said more than 200 of them face “guppy-level death and consolidation,” according to CNBC. Nebius Group (NASDAQ:NBIS | NBIS Price Prediction) traded at $158.73 as of 10:51 a.m. ET, roughly flat and down 0.01% on the day. That leaves the stock down 29.95% over the past month and still up 89.63% year to date.

Nebius’s own chief executive had already acknowledged part of Musk’s point. Per Stocktwits, an excerpt from Arkady Volozh’s podcast, recorded on the sidelines of the NVIDIA (NASDAQ:NVDA) GTC conference in Berlin last week, circulated on X on Sunday. He said some sources of capital had temporarily dried up, including “asset-backed financing or debt markets.” TradingView reported his words as “some of the capital sources are temporarily closed.”

Volozh Hedges His Own Funding Claim
He followed with a more confident line, per Stocktwits: “We have a pretty healthy balance sheet. We always thought about being more conservative here. But we’re working now with customer advances and several other instruments, which will probably provide us enough finance to build this gigawatt at least.”

“Probably” makes the funding a likelihood, and “at least” ties it to one gigawatt. On the August earnings call, Volozh set a larger goal: “Yes, we want to build a gigawatt capacity per year.” He said Nebius plans to start doing that in 2027.

Why Neoclouds Live and Die by Debt
A neocloud is a company that builds data centers and rents out AI computing power, mostly running on NVIDIA chips. The chips and buildings cost a great deal upfront. Returns come later, and only if customers pay enough to cover the borrowing costs and the cost of running the hardware. When lenders pull back, building slows. The suppliers one rung back from the chips, power, cooling, networking, keep profiting either way, and we rounded up seven of them in a free AI infrastructure report.

Per Stocktwits, Musk said debt markets have almost entirely shut off financing for companies without substantial revenue independent of AI data centers. He said SpaceX is outside that group, recently secured $40 billion in debt to buy NVIDIA GPUs, and has no interest in buying a neocloud.

Citi Loan Buys Time While Customer Contracts Carry the Weight
Nebius said Thursday it secured a $3.5 billion debt facility from Citigroup (NYSE:C) to fund data center expansion and GPU purchases. The loan matures in October next year and also covers general corporate purposes. Chief Operating Officer Ophir Nave said, per Stocktwits, “Sequencing our financing is how we optimize our long-term cost of capital,” and “We still have a range of capital sources available to us to finance the next phase of growth.” He pointed to $40 billion in long-term customer contracts that could serve as collateral.

Those contracts include large deals with Microsoft (NASDAQ:MSFT) and Meta Platforms (NASDAQ:META). Nebius’s second-quarter results filed with the SEC showed $37.5B in remaining performance obligations and $8.04B in cash. Customer advances do much of the work. Chief Financial Officer Dado Alonso said in August that Nebius expected more than $9 billion of upfront prepayments in 2026, and that Q2 deal terms covered approximately 50% to 60% of associated capex.

Both Sides of the Ledger
The conservative reading: the Citi facility runs about a year, funding leans on customer advances, and Volozh framed the gigawatt as likely. Concentration adds risk, with three customers making up 24%, 21%, and 14% of Q2 revenue. The constructive reading: Citi lent $3.5 billion into a market Musk calls closed, and hyperscale customers keep signing multiyear commitments. That puts Nebius in the group Musk described as still able to borrow. For background on how shares responded to the Citi deal, see our recent coverage of Nebius’s decline despite fresh Citi financing.

What to Watch Before the Citi Loan Comes Due

Longer-term financing: whether Nebius replaces or extends the Citi facility with longer-dated debt before it matures next October.
Executive commentary: further remarks from Nebius and other neocloud leaders on whether asset-backed and debt markets reopen.
Lender behavior: how lenders treat neoclouds without contracts like Nebius’s Microsoft and Meta deals. A wave of distressed sales would support Musk’s consolidation call.

Volozh’s own words set the standard to measure against: enough capital for a gigawatt, probably. Every new financing announcement will show whether that “probably” firms up.

Contact [email protected] for any questions or corrections.

Applied Digital just posted the strongest quarter in its history, yet the stock cratered more than 30% immediately after. One analyst still sees nearly 400% upside from here, and the reasons behind that gap reveal a high-stakes bet on the…

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Applied Digital (NASDAQ:APLD) currently trades at $18.25, while the average analyst target stands at $62.44. That gap implies 242.1% upside.

Applied Digital builds and runs purpose-built AI data center campuses in North Dakota and the southern U.S. It leases capacity to CoreWeave (NASDAQ:CRWV) and investment-grade hyperscalers and holds about $36B in contracted revenue. The highest target on the Street is more aggressive still. Lake Street Capital Markets analyst Rob Brown holds a $90.00 target, which works out to 393.2% upside. With a gap that wide, the market and the analysts disagree sharply on this stock.

A Record Quarter Failed to Stop a Steep Slide
Applied Digital has fallen 32.98% in one month. That is a selloff of more than 30%, and it started right after the strongest quarter in company history. Shares stood at $25.45 when the company reported fiscal Q1 2027 revenue of $341.88M, beating the $124.57M consensus. Adjusted EPS of -$0.01 exceeded the -$0.3023 estimate, marking a 6th consecutive EPS beat.

Investors looked past those beats to the balance sheet. The company posted a GAAP net loss of $184.06M and spent $2.07B on capex in the quarter. It has $6.4 billion in total debt against about $3.7 billion in cash and restricted cash. Rising yields and a sliding Bitcoin (CRYPTO:BTC) price pressured the whole group. Rothschild & Co Redburn also initiated coverage at Neutral with a $22 target, highlighting execution, power and pipeline-conversion risks. As the stock hit a one-year low, co-founders Wes Cummins and Jason Zhang bought about $6.7 million in shares.

Why Analysts Kept Raising Targets Into the Selloff
The contracted backlog supports the bullish thesis. Applied Digital has about 1.41 GW of leased critical IT load, and the contracts reach ~$86B if all renewal options exercised. Management expects “to place over 600 megawatts into service versus the 250 megawatts over the past 12 months.”

Pricing is the next catalyst. Management expects about 250 megawatts of expansion leases by calendar year-end, with lease rates up “definitely north of 15%”. The ChronoScale compute unit is on track for $1 billion of ARR in 2027. The longer-range target is 3.5 to 4 gigawatts by the end of calendar year 2030.

Recent analyst moves have mostly been reiterations and upgrades. Wells Fargo kept its Overweight rating and lifted its target to $55. Morgan Stanley stayed at Equal-Weight but upgrades its target to $41. Jones Trading initiated at Buy with a $70 target. Needham and B. Riley hold targets in the $70–$85 range.

The consensus fiscal 2028 EPS estimate has slipped to -0.7844 from -0.2500 30 days ago, which means analysts expect losses to continue for at least two more years.

Neocloud Peers Fell Even Harder Than Applied Digital
The whole group sold off together, and Applied Digital held up better than its closest rivals.

IREN (NASDAQ:IREN) has dropped 47.07% in a month to $24.91. Its average target of $77.81 implies 212.4% upside, which is smaller than Applied Digital’s. Of its 20 analysts, two call it a Strong Buy, 13 a Buy and five a Hold. Its latest quarterly revenue of $137.20 million missed estimates.

Cipher Digital (NASDAQ:CIFR) has fallen 56.73% in a month to $7.94. Its average target of $29.36 implies 269.8% upside, which is larger than Applied Digital’s. Of its 22 analysts, five call it a Strong Buy, 15 a Buy and two a Hold, despite a Q2 EPS of -0.65 that missed estimates.

Cipher offers the biggest consensus upside among the three. Applied Digital has the most aggressive single target and is the only one of the three beating estimates. None of these targets is a guarantee.

Down 25.57% This Year While the S&P 500 Gained 11.45%
At $18.25, Applied Digital trades near its 52-week low of $17.65 and far below its high of $50.73. The 15 covering analysts average $62.44, which implies 242.1% upside. The ratings break down this way:

Strong Buy: 2
Buy: 11
Hold: 2
Sell: 0

The stock is down 25.57% so far this year, compared with an S&P 500 gain of 11.45%. Over one year, Applied Digital has lost 45.33%, against a 13.13% gain for the index. A beta of 6.0 explains why the moves in both directions are so large.

A Real Backlog Weighed Down by Real Debt
The bullish thesis improves if the 600-plus megawatts reach service on schedule and the expansion leases close at higher rates. Should both occur, base rent replaces one-time fit-out revenue and the 89% NOI margin on HPC operations starts to has the income statement. But the stock looks like a value trap if capital markets tighten before Polaris Forge 3 and the two Delta Forge campuses are financed. A free cash flow yield of -50.3% leaves little room for error.

The bullish thesis has support. The contracts are signed, insiders are buying, and Applied Digital is the only name in the group beating estimates. The $90 target needs years of flawless execution, so it reads as a ceiling, while the average target reflects a multiyear outlook. All of that AI data center expansion still has to be powered, cooled, and networked by somebody, and we rounded up seven suppliers doing exactly that in a free report on the AI boom beyond the chipmakers. Watch the stock around the next lease announcements.

Contact [email protected] for any questions or corrections.

Analysts on Wall Street project that Brinker International (EAT - Free Report) will announce quarterly earnings of $2.49 per share in its forthcoming report, representing an increase of 29% year over year. Revenues are projected to reach $1.45 billion, increasing 7.3% from the same quarter last year.

Over the last 30 days, there has been a downward revision of 0.3% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.

Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.

Given this perspective, it's time to examine the average forecasts of specific Brinker International metrics that are routinely monitored and predicted by Wall Street analysts.

The combined assessment of analysts suggests that 'Revenue- Franchise and other revenues' will likely reach $14.23 million. The estimate points to a change of +3.1% from the year-ago quarter.

The consensus estimate for 'Revenue- Company sales' stands at $1.44 billion. The estimate suggests a change of +7.9% year over year.

Analysts predict that the 'Revenue- Company sales- Chili's' will reach $1.34 billion. The estimate points to a change of +8.4% from the year-ago quarter.

The collective assessment of analysts points to an estimated 'Revenue- Company sales- Maggiano's' of $99.40 million. The estimate indicates a year-over-year change of +0.2%.

It is projected by analysts that the 'Comparable Restaurant Sales - Chili's - YoY change' will reach 8.1%. The estimate is in contrast to the year-ago figure of 21.4%.

Analysts expect 'Company owned restaurants - Maggiano's - Domestic locations' to come in at 49 . Compared to the present estimate, the company reported 48 in the same quarter last year.

Analysts forecast 'Company owned restaurants - Chili's' to reach 1,124 . The estimate compares to the year-ago value of 1,113 .

Based on the collective assessment of analysts, 'Company owned restaurants - Total' should arrive at 1,173 . The estimate is in contrast to the year-ago figure of 1,161 .

According to the collective judgment of analysts, 'Total restaurants - Brinker International' should come in at 1,639 . Compared to the present estimate, the company reported 1,630 in the same quarter last year.

Analysts' assessment points toward 'Franchise restaurants - Total' reaching 468 . Compared to the present estimate, the company reported 469 in the same quarter last year.

The consensus among analysts is that 'Franchise restaurants - Chili's - International' will reach 373 . The estimate is in contrast to the year-ago figure of 367 .

The average prediction of analysts places 'Comparable Restaurant Sales - Company - owned' at 7.5%. The estimate compares to the year-ago value of 18.8%.

View all Key Company Metrics for Brinker International here>>>

Brinker International shares have witnessed a change of -11.8% in the past month, in contrast to the Zacks S&P 500 composite's -1.2% move. With a Zacks Rank #3 (Hold), EAT is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

What goes up must come down -- and is PagSeguro (PAGS -26.62%) stock ever coming down fast today!

Shares of the Brazilian fintech stock and digital bank took off like a rocket earlier this month after conservative candidate Flávio Bolsonaro outpolled incumbent President Luiz Inácio Lula da Silva 47.3% to 44.8% in the first round of voting in Brazil's presidential election. But the second round of voting wrapped up last night, and "Lula" pulled off an upset, winning 51.8% of votes cast to Bolsonaro's 48.2%.

Investors are upset, and they're taking it out on every Brazil-related stock they can find. PagSeguro stock is down 26.4% as of 11:20 a.m. ET.

Image source: Getty Images.

Election Brazil 2026Bolsonaro is refusing to concede defeat and is challenging the election results, alleging the incumbent administration suppressed voting in key Bolsonaro-leaning districts. It's not clear whether the allegations have merit or have any chance of overturning yesterday's results, however.

Actually, the opposite seems more likely. Various South American heads of state have already made their calls to congratulate Lula on his victory.

PAGS PagSeguro Digital$8.40-$3.05 (-26.62%)

NYSE · As of 11:33 AM ET 10/26/26

What does any of this have to do with PagSeguro?When Bolsonaro seemed to be winning earlier this month, The Wall Street Journal reported that investors were upset with Lula's "stewardship of the economy" and hoped a change in administration might help shore up Brazilian finances, lower debt and tax costs, and generally improve the business climate. That no longer seems likely, and Lula will probably now remain in office through 2030.

This doesn't necessarily make PagSeguro stock a sell, however. Valued at just 7.7 times trailing earnings and expected by Wall Street analysts to grow earnings more than 10% annually over the next five years, PagSeguro stock looks cheap -- regardless of who wins the Brazilian election.

Rich Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

TripAdvisor is on AI-powered recovery from record lowsMakeMyTrip NASDAQ: MMYT reported 20.9% year-over-year growth in second-quarter fiscal 2027 gross bookings on a constant-currency basis, reaching $2.7 billion, as growth in hotels, ground transportation and ancillary services helped offset pressure on air travel.

Co-Founder and Group CEO Rajesh Magow said the travel company delivered its results amid a challenging environment for India’s travel industry. He cited the West Asia conflict, higher aviation turbine fuel prices, rupee depreciation and constrained airline capacity as factors that weighed on both domestic and international air-travel demand.

Get MakeMyTrip alerts:

Are These 3 Travel-Related Stocks Actionable After Big Rallies?“Our strong Q2 performance in a low leisure travel season quarter was led by domestic travel and short-haul international destinations for leisure purpose,” Magow said, adding that corporate travel within India remained resilient.

Adjusted operating profit was $46.2 million, up 13.8% from a year earlier in constant currency. Adjusted net profit before tax also rose 27% to $46.2 million. The company said rupee depreciation reduced reported year-over-year growth rates by roughly 10 percentage points because of translation effects.

Non-Air Mix Expands as Air Demand Declines
MakeMyTrip Stock is an Under-the-Radar PlayMakeMyTrip said its non-air business represented 63.2% of total business mix in the quarter, compared with 61.5% a year earlier. The company maintained a more than 30% share of India’s domestic air-ticketing market, according to management, while outperforming the market in international air ticketing.

However, air travel remained under pressure. Group COO Mohit Kabra said domestic departures declined 7% year over year, while international departures fell 4%, as higher fares and limited airline capacity reduced passenger volumes. Air fares increased about 25% to 30% year over year, according to Group CFO Dipak Bohra.

Air-ticketing adjusted margin increased 14.3% in constant currency to $108.6 million. Bohra said the company benefited from ancillary-product attachment and improved unit economics, though the rise in fares also increased payment-processing costs because those charges are linked to booking value while air-ticket revenue is tied largely to ticket volumes.

Adjusted operating margin was 1.7% of gross bookings, compared with 1.8% a year earlier. Bohra said the company expects the gap between revenue and payment-processing costs to narrow as fares and passenger volumes normalize.

Hotels, Buses and Other Services Drive Growth
The hotels and packages segment, which represented 40% of MakeMyTrip’s business mix, generated adjusted margin of $116.8 million, up 20.2% in constant currency. Hotel and package gross bookings grew 19.7%, while standalone hotel room nights rose 18.6%.

Domestic hotel room nights increased 20.4%, supported by demand for short-duration trips, drive-down holidays, pilgrimage travel and celebrations, management said. International hotel room nights rose at a mid-single-digit rate despite weakness in Middle East and long-haul travel demand.

The company’s domestic accommodation portfolio exceeded 105,000 properties across 2,080 Indian cities at quarter-end. Its directly contracted international hotel portfolio reached 40,000 accommodations, up 30% from a year earlier, spanning about 110 global destinations after the company added 45 cities over the past year.

MakeMyTrip said an AI-enabled recommendation system deployed across its apps increased visitor conversion by more than 2.5%, with nearly 6% gains for super-premium stays such as villas. In the homestay category, the company sold more than 29,400 unique properties across 1,185 cities during the quarter.

Bus ticketing, led by the redBus platform, posted 24.7% volume growth, 29.4% growth in gross bookings and 29% adjusted-margin growth in constant currency. Bus adjusted margin totaled $45.1 million. Kabra said nearly half of the segment’s growth came from inventory additions, particularly on overnight and pilgrimage routes, with the balance coming from market-share gains.

The company’s other segment, including intercity cabs, rail, insurance, foreign exchange, tours, activities and related services, recorded adjusted margin of $24.4 million, up 29.8% in constant currency. Magow said the intercity cab business is growing more than 40% year over year, albeit from a small base.

Company Highlights AI Adoption and Corporate Growth
Management emphasized its investment in artificial intelligence, arguing that travel platforms with bookable supply, transaction capabilities and customer-service infrastructure are positioned to benefit as AI changes travel discovery and planning.

MakeMyTrip said its AI travel assistant, Myra, handles more than 90,000 daily conversations and assists with more than 3,000 bookings each day. Customers who engage with Myra convert at roughly 1.7 times the rate of those who do not, while the conversion multiple exceeds 2.1 times in tier-two and tier-three cities, which account for about 55% of Myra conversations.

Myra resolved more than 53% of post-booking flight and hotel queries autonomously, the company said. AI-powered semantic search accounted for about 10% of hotel searches and delivered conversion rates approximately 24% higher than filter-led searches.

On the corporate side, MakeMyTrip’s myBiz platform served about 84,600 active corporate customers at quarter-end, up from about 75,500 a year earlier. Quest2Travel served 568 large customers, compared with 527 in the prior-year period. The company’s myPartner travel-agent platform added more than 26,000 unique agents transacting for the first time during the quarter.

Balance Sheet and India IPO Plans
MakeMyTrip ended the quarter with $815 million in cash and cash equivalents. It deployed $17.2 million toward its share-buyback program and said it has cumulatively repurchased 2.23 million shares, covering 37% of the share capital expected to be issued in connection with its 2028 convertible bonds.

The company also said it continues to pursue a proposed initial public offering for wholly owned subsidiary MakeMyTrip India Ltd. after making a confidential filing. Management said the timing will depend on regulatory approvals and market conditions, while noting that the confidential filing remains valid for roughly 18 months.

Looking ahead, Magow said the company remains cautious about geopolitical and macroeconomic conditions but continues to see long-term potential in India’s travel market, particularly in hotels, alternative accommodations, buses, cabs, tours and experiences where supply remains fragmented and online penetration is relatively low.

About MakeMyTrip (NASDAQ:MMYT)MakeMyTrip Limited is an online travel company serving consumers in India and international travelers booking trips to and from the country. Founded in 2000 by Deep Kalra, the company operates through a portfolio of travel brands, including MakeMyTrip, Goibibo and redBus.

The company provides online and mobile booking services for domestic and international flights, hotels and other accommodations, holiday packages, trains, buses, car rentals and airport transfers. Through redBus, it also offers bus ticketing services across India and selected international markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in MakeMyTrip Right Now?Before you consider MakeMyTrip, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and MakeMyTrip wasn't on the list.

While MakeMyTrip currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

A strong long-term portfolio starts with companies that can survive recessions, inflation, changing consumer habits, and shifting market leadership.

This report names seven blue-chip stocks across technology, retail, consumer staples, healthcare, networking, sporting goods, and utilities that offer investors a mix of stability, income, growth, and staying power.

Get This Free Report

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Meta Platforms (META - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Shares of this social media company have returned -14.5% over the past month versus the Zacks S&P 500 composite's -1.2% change. The Zacks Internet - Software industry, to which Meta Platforms belongs, has lost 5.8% over this period. Now the key question is: Where could the stock be headed in the near term?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

For the current quarter, Meta Platforms is expected to post earnings of $8.12 per share, indicating a change of -8.6% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.5% over the last 30 days.

For the current fiscal year, the consensus earnings estimate of $29.57 points to a change of +25.9% from the prior year. Over the last 30 days, this estimate has changed +2%.

For the next fiscal year, the consensus earnings estimate of $33.78 indicates a change of +14.2% from what Meta Platforms is expected to report a year ago. Over the past month, the estimate has changed -1.5%.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Meta Platforms.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

In the case of Meta Platforms, the consensus sales estimate of $75.05 billion for the current quarter points to a year-over-year change of +25.3%. The $255.63 billion and $311 billion estimates for the current and next fiscal years indicate changes of +27.2% and +21.7%, respectively.

Last Reported Results and Surprise HistoryMeta Platforms reported revenues of $64.6 billion in the last reported quarter, representing a year-over-year change of +26.1%. EPS of $7.4 for the same period compares with $7.25 a year ago.

Compared to the Zacks Consensus Estimate of $63.41 billion, the reported revenues represent a surprise of +1.88%. The EPS surprise was +13.5%.

Over the last four quarters, Meta Platforms surpassed consensus EPS estimates three times. The company topped consensus revenue estimates each time over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Meta Platforms is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Meta Platforms. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

Analysts on Wall Street project that Amazon (AMZN - Free Report) will announce quarterly earnings of $2.01 per share in its forthcoming report, representing an increase of 3.1% year over year. Revenues are projected to reach $202.11 billion, increasing 12.2% from the same quarter last year.

Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 0.4% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.

Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.

While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.

Given this perspective, it's time to examine the average forecasts of specific Amazon metrics that are routinely monitored and predicted by Wall Street analysts.

Analysts' assessment points toward 'Net Sales- AWS' reaching $45.42 billion. The estimate points to a change of +37.6% from the year-ago quarter.

It is projected by analysts that the 'Net Sales- North America' will reach $113.39 billion. The estimate points to a change of +6.7% from the year-ago quarter.

The collective assessment of analysts points to an estimated 'Net Sales- International' of $43.21 billion. The estimate indicates a year-over-year change of +5.7%.

Analysts expect 'Net Sales- Advertising services' to come in at $20.87 billion. The estimate suggests a change of +17.9% year over year.

The consensus estimate for 'Net Sales- Online stores' stands at $69.56 billion. The estimate indicates a year-over-year change of +3.2%.

Analysts forecast 'Net Sales- Subscription services' to reach $13.69 billion. The estimate suggests a change of +8.9% year over year.

The average prediction of analysts places 'Net Sales- Other' at $1.60 billion. The estimate points to a change of +13.2% from the year-ago quarter.

Based on the collective assessment of analysts, 'Net Sales- Third-party seller services' should arrive at $44.83 billion. The estimate points to a change of +5.5% from the year-ago quarter.

According to the collective judgment of analysts, 'Net Sales- Physical stores' should come in at $5.74 billion. The estimate indicates a change of +2.9% from the prior-year quarter.

The consensus among analysts is that 'Subscription services - Y/Y Change' will reach 9.0%. The estimate compares to the year-ago value of 11.0%.

The combined assessment of analysts suggests that 'Online stores - Y/Y Change' will likely reach 3.4%. Compared to the current estimate, the company reported 10.0% in the same quarter of the previous year.

Analysts predict that the 'Third-party seller services - Y/Y Change' will reach 5.8%. The estimate compares to the year-ago value of 12.0%.

View all Key Company Metrics for Amazon here>>>

Over the past month, shares of Amazon have returned -0.7% versus the Zacks S&P 500 composite's -1.2% change. Currently, AMZN carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

SummaryAdvanced Micro Devices receives a Strong Buy rating, with valuation now at 33x 2027 earnings, 22% below its high, despite an improved earnings outlook.Market concerns center on AI customer spending, but I see AMD’s EPYC server CPU business—forecasting a $220B market—as a major, underappreciated growth driver.Fourth-quarter guidance is key; a midpoint near $17B revenue and >70% server CPU growth outlook would reinforce the bullish thesis.Warrants tied to AI GPU deals could dilute shares by up to 19%, but dilution is offset by accretive revenue and profit from these major customer commitments.Getty Images

In September, Advanced Micro Devices (AMD) started shipping its first complete AI server rack, called Helios, so you'd think the stock would have had a good October. But instead, it lost about a fifth of its value, and from what I can

104 Followers

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Berkshire Hathaway (BRKA +0.33%) (BRKB +0.38%) CEO Greg Abel has made several significant changes to the $299 billion portfolio since he took over in January. The biggest change so far appears to be its concentration. The portfolio has shrunk to 29 stocks from 42 at the end of 2025, while assets have grown by 9%, from $274 billion to $299 billion.

The top five holdings made up around 70% of the portfolio at the end of 2025, when Warren Buffett stepped down as CEO. After the second quarter of 2026, the top five holdings were still right around 70%, 69% to be exact, but there is one notable difference.

Greg Abel, Berkshire Hathaway CEO. Image source: Getty Images.

Currently, Apple is the largest position at 22%, followed by American Express at 17.1%, Coca-Cola at 10.9%, Alphabet (GOOG +0.01%) (GOOGL +0.09%) at 9.4%, and Bank of America at 9.2%.

At the end of 2025, Apple was at 22.6%, American Express was at 20.5%, Bank of America was at 10.4%, Coca-Cola was at 10.2%, and Chevron was at 7.2%. Google's parent, Alphabet, accounted for just 2% of the portfolio and was the 10th-largest holding.

Aside from exiting more than a dozen positions, Abel's biggest move over the first two quarters has been piling assets into Alphabet. And when the third-quarter 13F comes out, I would not be shocked to see Abel boost his position in Alphabet even further.

Here's why Alphabet is a top buy in October.

A $514 billion backlog
Hedge fund managers were increasing their holdings of Alphabet stock in September, according to the latest Data Insights Crowding Report. The trend will likely continue in October mainly due to Alphabet's cheap valuation. The stock is trading at 16 times earnings. It hasn't been this cheap in at least 14 years going back to 2012, and probably longer.

But that is a bit misleading because the P/E was skewed lower in Q2 after Alphabet had a massive earnings gain of 335% year over year to $112 billion. About $98 billion of that came primarily from equity investments in Space Exploration Technologies and Anthropic.

GOOG Alphabet$317.31+$0.03 (+0.01%)

NASDAQ · As of 11:17 AM ET 10/26/26

But thes stock's forward P/E is still fairly low at 22, and it has a booming backlog of $514 billion within its cloud business, up 50% from the previous quarter. That's more than double the $240 billion backlog that Alphabet had at the end of 2025.

On the second-quarter earnings call, Alphabet CFO Anat Ashkenazi said the company expects to recognize just over 50% of the total cloud backlog as revenue over the next 24 months.

Apple to Alphabet
Alphabet presents an opportunity that Abel will likely not pass up like his predecessor, Buffett. Some 10 years ago, in the first quarter of 2016, Buffett bought Apple stock for the first time after its valuation sank with a price-to-earnings ratio of 10 -- its lowest in years at the time. Buffett kept loading up on Apple  over the next several quarters, and by the end of 2017, it was Berkshire Hathaway's largest holding.

I expect to see a similar pattern here with Abel and Alphabet. Alphabet may not become Apple's largest holding, but the trajectory is similar. It has only been a year since Berkshire first added Alphabet to its portfolio in the third quarter of 2025. Just three quarters later, it's Berkshire's fourth-largest holding, and at this valuation, look for Abel to keep adding to the position.

It's not an apples-to-apples comparison (or Apple to Alphabet, as it were) given that Alphabet's low P/E ratio is skewed. But the speed at which Abel is adding Alphabet stock is reminiscent of how rapidly Buffett grew the Apple position.

The market is concerned about Alphabet's massive capital expenditures (capex), which it raised to $195 billion to $205 billion for fiscal 2026, up from the previous estimate of $180 billion to $190 billion. The increase is mostly due to an acceleration in capacity to meet surging demand. Alphabet expects capex spending to "increase significantly in 2027." This has drained Alphabet's free cash flow, which management anticipates will remain under pressure.

But during this once-in-a-generation AI boom, this is the cost of doing business for these hyperscalers to keep up with the insatiable demand. Amazon has made similar capex commitments, and it appears to be paying off. I'd expect Alphabet is making a similarly calculated move to meet demand.

NVIDIA just posted triple-digit revenue growth and Wall Street keeps raising its price targets, yet the stock is drifting lower. One upcoming catalyst could change that trajectory in a dramatic way.

The quarter NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) just delivered would impress at a company one-tenth its size. Q2 fiscal 2027 revenue reached $96.22 billion, up 105.8% year over year. Data Center networking grew 138%, faster than compute.

Jensen Huang put it simply: “AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue.”

Shares are up 18.43% year to date at $220.36, but they fell 3.57% over the past week. Even rumors of a big China chip purchase failed to lift the stock. That break leaves room for a bigger move. NVIDIA’s path to $400 by late 2027 depends on rising earnings and a market-level multiple.

Wall Street Sees 49% Upside as Estimates Keep Climbing
The average analyst target is $328.72, which implies 49% upside. Ratings lean heavily positive, led by 10 Strong Buys, 49 Buys, 2 Holds and 1 Sell.

For fiscal 2028, analysts project revenue of $692.2 billion, up from $411.7 billion this year, or 68% growth. They expect EPS to rise about 71% to $15.9146. Management guides to similar growth.

CFO Colette Kress said “customer forecasts point to our growth doubling next year,” but NVIDIA expects roughly 70% because supply is tight.

Path to $400 Requires Only a Market-Level Multiple
NVIDIA currently trades at about 14x fiscal 2028 earnings. At $400, that rises to about 25x. That is a small premium to the S&P 500’s forward multiple of roughly 21-23x, and it would buy earnings growing at 71%.

What Could Push NVIDIA to $400?

Rising estimates: 90 days ago, analysts expected fiscal 2028 EPS of $12.7636. Today the figure is $15.9146, about 25% higher, following 7 raised estimates and zero cuts in the past 30 days.
Beat run: NVIDIA has beaten estimates for 5 consecutive quarters. In Q2 it earned $2.22 against an expected $2.09.
Vera Rubin ramp: Management expects the fastest product ramp in company history. Rubin brings in $40 billion per gigawatt, compared with $25 billion for Blackwell.
Hyperscaler spending: Capex at the top five hyperscalers is expected to reach nearly $800 billion in 2026 and $1.3 trillion in 2027.
Supply relief and China: Huang said “the unconstrained number would be a lot higher.” The outlook includes no compute revenue from Chinese data centers, so any return there adds upside.

NVIDIA Has Topped This Gain Four Times Since 2016
Reaching $400 requires a gain of about 82%. NVIDIA has gone well beyond that before: shares rose 171% in 2024, 239% in 2023, 125% in 2021 and 224% in 2016.

With a market value of $5.33 trillion, repeating those returns is harder, but the stock has a track record of doing it.

$400 Is a Stretch, but the Math Holds Up
Hurdles remain: gross margin is expected to bottom at 71% to 72% in Q4, and days sales outstanding rose to 60 days. Reddit sentiment has also changed from bullish to neutral as concerns about AI financing grow.

Still, analysts already project 49% upside, and estimates are rising. NVIDIA trades at a forward multiple below the market’s. If Rubin ramps on schedule and supply eases, a 25x multiple on fiscal 2028 earnings would take the stock to $400.

That hyperscaler capex also has to be powered, cooled, and connected by someone, and we rounded up seven suppliers riding the same wave in a free report. Returns like this are rare, and this is how NVIDIA could deliver an outsized gain by 2027.

Contact [email protected] for any questions or corrections.

Streaming giant Netflix (NFLX -2.57%) recently reported third-quarter earnings per share that was ahead of Wall Street consensus estimates -- while revenue came in line. However, investors came away disappointed after management said it expects full-year revenue of $51.1 billion, at the lower end of its outlook and slightly below consensus estimates.

Netflix attributed the softness to weaker ad revenue due to a slower-than-expected release of certain ad product capabilities. Still, the crux of the debate on Netflix, and likely overhang on the stock, concerns user engagement amid shifting consumer preferences.

During Netflix's third-quarter earnings call, Co-CEO Greg Peters told analysts, "We know that we can do better" when it comes to U.S. engagement. Should investors be worried?

Image source: Getty Images.

Adapting as content preferences shift
Netflix stock is now down over 47% in the past year, and a major reason for that decline is investor concerns about a shift in consumer viewing habits. Part of the shift can be attributed to short-form content on social media platforms and YouTube, while another concern is the disruption from artificial intelligence, as investors worry that the cost and barriers of creating content will come down.

During Netflix's earnings call, management was asked how engagement trends in the U.S. compare with those in other regions. Peters addressed this question, noting that overall subscriber retention remains healthy across all regions, despite price increases.

Peters also noted that engagement trends are strong in the Asia-Pacific region, Latin America, and Europe, the Middle East, and Africa (EMEA). Specifically, Peters highlighted India, where total viewed hours grew 24% year over year.

In the U.S., Netflix's largest and most mature market, Peters was slightly more reserved, but framed the U.S. as an opportunity. "Our engagement is solid, and it will allow us to continue to grow as we have for the last several years, but we know that we can do better. And that better is our upside. It's our goal to go from very good to great on the performance of that slate," he said.

NFLX Netflix$64.16-$1.70 (-2.57%)

NASDAQ · As of 11:15 AM ET 10/26/26

This may have concerned investors worried that there is little room left to grow in the U.S.

But later in the call, when Netflix Co-President Ted Sarandos was discussing Netflix's EMEA strategy, he cited Netflix's performance in the Nordic countries as evidence that the company is still succeeding in mature markets. "The content slate is killing it there. And it's proof that when we have the right focus, make the right choices and deliver creatively, we can drive outsized impact on the business around the world," he said.

Peters also said management is very excited about Netflix's slate for the fourth quarter, including shows like East of Eden, which is already out, season 4 of The Diplomat, the final season of Emily in Paris, as well as movies such as Bad Day and The Further Mis-Adventures of Cliff Booth written by Quentin Tarantino.

Netflix will also have NFL Christmas Day games.

The threat of AI and short-form content is definitely the big overhang on the stock, in my opinion. Trying to assess whether Netflix's entire business model will be disrupted by AI is just about as difficult as assessing AI's impact on every other sector. But I would bet that Netflix ends up being OK and leveraging AI to complement its business rather than being totally disrupted by it.

Billionaire investor Bill Ackman and his team at Pershing Square USA bought the dip on Netflix earlier this year. Part of their thesis is that the market's concerns on the company "understate the cost of generating long-form, high-quality video, which remains among the most compute-intensive AI tasks."

So it remains to be seen whether the barrier to making high-quality content will actually come down, and I still think there will be demand for it even if viewers continue to gravitate toward short-form content. Given the company's immense resources and industry expertise, I am sure Netflix will continue to add diverse content as consumer preferences evolve and remain one of the dominant streaming platforms in the sector.

Have you evaluated the performance of Netflix's (NFLX - Free Report) international operations during the quarter that concluded in September 2026? Considering the extensive worldwide presence of this internet video service, analyzing the patterns in international revenues is crucial for understanding its financial resilience and potential for growth.

In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors now place great importance on grasping the extent of a company's dependence on international markets, as it sheds light on the firm's earnings stability, its skill in leveraging various economic cycles and its broad growth potential.

Presence in international markets can act as a hedge against domestic economic downturns and provide access to faster-growing economies. However, this diversification also brings complexities due to currency fluctuations, geopolitical risks and differing market dynamics.

While analyzing NFLX's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.

The company's total revenue for the quarter amounted to $12.87 billion, showing rise of 11.9%. We will now explore the breakdown of NFLX's overseas revenue to assess the impact of its international operations.

A Dive into NFLX's International Revenue TrendsAsia-Pacific accounted for 11.9% of the company's total revenue during the quarter, translating to $1.54 billion. Revenues from this region represented a surprise of +0.15%, with Wall Street analysts collectively expecting $1.53 billion. When compared to the preceding quarter and the same quarter in the previous year, Asia-Pacific contributed $1.51 billion (12%) and $1.37 billion (11.9%) to the total revenue, respectively.

During the quarter, Latin America contributed $1.6 billion in revenue, making up 12.5% of the total revenue. When compared to the consensus estimate of $1.61 billion, this meant a surprise of -0.67%. Looking back, Latin America contributed $1.58 billion, or 12.6%, in the previous quarter, and $1.37 billion, or 11.9%, in the same quarter of the previous year.

Of the total revenue, $4.11 billion came from Europe, Middle East and Africa during the last fiscal quarter, accounting for 31.9%. This represented a surprise of -0.87% as analysts had expected the region to contribute $4.14 billion to the total revenue. In comparison, the region contributed $4.03 billion, or 32.1%, and $3.7 billion, or 32.1%, to total revenue in the previous and year-ago quarters, respectively.

Revenue Forecasts for the International MarketsThe current fiscal quarter's total revenue for Netflix, as projected by Wall Street analysts, is expected to reach $13.46 billion, reflecting an increase of 11.7% from the same quarter last year. The breakdown of this revenue by foreign region is as follows: Asia-Pacific is anticipated to contribute 12.1% or $1.63 billion, Latin America 12.2% or $1.64 billion and Europe, Middle East and Africa 32.1% or $4.32 billion.

For the entire year, the company's total revenue is forecasted to be $51.15 billion, which is an improvement of 13.2% from the previous year. The revenue contributions from different regions are expected as follows: Asia-Pacific will contribute 12% ($6.15 billion), Latin America 12.4% ($6.34 billion) and Europe, Middle East and Africa 32.2% ($16.49 billion) to the total revenue.

Final ThoughtsThe dependency of Netflix on global markets for its revenues presents a mix of potential gains and hazards. Thus, monitoring the trends in its overseas revenues can be a key indicator for predicting the firm's future performance.

In an environment where global interconnections and geopolitical skirmishes are intensifying, Wall Street analysts keep a keen eye on these trends, particularly for firms with overseas operations, to adjust their earnings predictions. Moreover, a range of other aspects, including how a company fares in its home country, significantly affects these projections.

At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.

Boasting a remarkable track record that's been externally verified, the Zacks Rank, our unique stock rating system, leverages changes in earnings projections to function as a reliable gauge for predicting short-term stock price movements.

At the moment, Netflix has a Zacks Rank #3 (Hold), signifying that its performance may align with the overall market trend in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Netflix's Recent Stock Market PerformanceOver the past month, the stock has seen a decline of 7.4% in its value, whereas the Zacks S&P 500 composite has posted a decrease of 1.2%. The Zacks Consumer Discretionary sector, Netflix's industry group, has ascended 4.8% over the identical span. In the past three months, there's been a decline of 8.2% in the company's stock price, against a rise of 2.5% in the S&P 500 index. The broader sector has increased by 2.8% during this interval.

Key Takeaways Visa is poised for a fiscal Q4 earnings beat, with EPS projected to rise 15.1% and revenues to grow 12.7%.Higher payment volumes, cross-border demand and digital transactions could fuel Visa's Q4 revenue growth.Visa's 16.3% YTD stock gain and premium valuation favor holding shares over buying ahead of earnings.
Visa Inc. (V - Free Report) is set to report its fourth-quarter fiscal 2026 results on Oct. 27, 2026, after market close. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $3.43 per shareon revenues of $12.08 billion.

The estimate for fiscal fourth-quarter earnings has remained stable over the past 60 days. The bottom-line projection indicates a year-over-year increase of 15.1%. The Zacks Consensus Estimate for quarterly revenues suggests year-over-year growth of 12.7%.

Image Source: Zacks Investment Research

For fiscal 2026, the Zacks Consensus Estimate for Visa’s revenues is pegged at $45.84 billion, implying a rise of 14.6% year over year. The consensus mark for EPS is pegged at $13.22, suggesting a jump of about 15.3% year over year.

The payments juggernaut has a robust history of surpassing earnings estimates. It beat estimates in each of the last four quarters, with the average being 2.8%. This is depicted in the graph below:

Q4 Earnings Whispers for VisaOur proven model predicts a likely earnings beat for the company this time around as well. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is precisely the case here.

Visa has an Earnings ESP of +0.66% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

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

Factors Shaping Visa’s Q4 ResultsVisa appears well positioned to deliver solid year-over-year growth in fiscal fourth-quarter results, supported by higher consumer spending, rising digital payment adoption and continued growth in cross-border transactions. The Zacks Consensus Estimate calls for a 7.5% increase in total Gross Dollar Volume from the year-ago quarter, while our model projects 7.7% growth.

As the company draws revenues as a set percentage of total transaction value every time a customer makes payments with a debit/credit card, higher spending means more revenue in the form of transaction processing fees. The Zacks Consensus Estimate for total processed transactions points to 9.6% year-over-year growth, slightly above our model's projection of 9.4%.

The consensus mark for total payment volumes indicates a 9.1% year-over-year increase. We expect the metric for U.S. operations alone to jump nearly 8% year over year. Similarly, our model predicts 15.6% year-over-year growth in Latin America and 11.2% in CEMEA.

The Zacks Consensus Estimate for data processing revenues indicates 15% growth in the fiscal fourth quarter from the year-ago level of $5.39 billion. Similarly, the consensus mark for service revenues suggests 12.6% year-over-year growth, whereas we expect the metric to grow 13.3% from $4.6 billion.

Furthermore, the consensus estimate for international transaction revenues indicates 8.9% growth from a year ago. Continuous growth in cross-border volumes is expected to have supported the metric. The factors stated above are expected to have positioned Visa for an earnings beat. However, rising expenses and client incentives (a contra-revenue item) are likely to have partially offset the positive impact of higher volumes.

We expect adjusted total operating expenses for the quarter under review to increase 11.6% year over year due to increased Personnel, Professional Fees, Marketing, and Network and Processing expenses. Meanwhile, the Zacks Consensus Estimate for client incentives is pegged at $4.98 billion for the to-be-reported quarter.

Visa Price Performance & ValuationVisa's stock has gained 16.3% in the year-to-date period. It has outperformed the industry’s 4.2% fall andthe S&P 500’s increase of 10.6%. In comparison, its peers like Mastercard Incorporated (MA - Free Report) and American Express Company (AXP - Free Report) have increased 9.2% and declined 15.3%, respectively, during this time.

YTD Price Performance – V, MA, AXP, Industry & S&P 500 Image Source: Zacks Investment Research

Now, let’s look at the value Visa offers investors at current levels.

The company’s valuation looks somewhat stretched compared with the industry average. Currently, Visa is trading at 26.97X forward 12-month earnings, above the industry’s average of 18.76X, and remains above its five-year median of 25.59X.

Image Source: Zacks Investment Research

In comparison, Mastercard is trading at 27.84X forward 12-month earnings. American Express, on the other hand, is trading at 15.86X now.

How Should You Play Visa Ahead of Q4 Earnings?Visa enters its fiscal fourth-quarter earnings report with plenty working in its favor. Steady consumer spending, higher transaction volumes and cross-border demand should support revenue and earnings growth. Its record of topping estimates adds to that case.

The longer-term story is also taking shape. Visa is expanding stablecoin-linked payments and settlement, building tools for AI-driven shopping and growing its Value-Added Services business. These efforts offer new ways to earn revenue beyond traditional card transactions, without straying far from the network that underpins its business.

Still, expectations are not low. After outperforming the industry and broader market this year, Visa trades above both its industry average and its own five-year median valuation. Higher operating expenses and client incentives could limit how much stronger payment activity flows through to earnings. Competition from alternative payment networks and regulatory scrutiny also remain concerns.

For existing shareholders, the company's strong core business and newer growth opportunities support staying invested through the report. New investors, however, may want to avoid chasing the stock ahead of earnings, particularly with its valuation leaving little room for disappointment.