Boston Scientific: A Stock to Watch Ahead of Earnings Report
Are you looking for a reliable stock that has consistently surpassed earnings expectations? Boston Scientific (BSX), a key player in the Zacks Medical – Products industry, may be worth considering.
Strong Earnings Performance
This medical device firm has a strong track record of exceeding earnings estimates. In fact, Boston Scientific achieved an average surprise of 7.76% over its last two quarterly reports.
In the most recent quarter, Boston Scientific reported earnings of $0.63 per share, exceeding the Zacks Consensus Estimate of $0.58 per share by 8.62%. This follow-up comes on the heels of another successful report, where expected earnings of $0.58 per share were more than matched with actual earnings of $0.62 per share—resulting in a surprise of 6.90%.
Positive Outlook with Earnings ESP
Analysts have increased earnings estimates for Boston Scientific, reflecting the company’s successful history of surprises. Its positive Zacks Earnings ESP (Expected Surprise Prediction) further suggests that the stock is poised for another earnings beat in the upcoming report, especially given its solid Zacks Rank.
Our analysis indicates that stocks demonstrating a positive Earnings ESP, along with a Zacks Rank of #3 (Hold) or better, tend to deliver positive surprises about 70% of the time. Therefore, among ten such stocks, as many as seven could meet or exceed consensus estimates.
Understanding the Earnings ESP
The Zacks Earnings ESP metric compares the Most Accurate Estimate with the Zacks Consensus Estimate for the quarter. The Most Accurate Estimate is more sensitive to recent changes, reflecting analysts’ latest insights before an earnings release.
Currently, Boston Scientific boasts an Earnings ESP of +1.24%, suggesting growing analyst optimism about its earnings prospects. Coupled with its Zacks Rank #2 (Buy), it hints at the potential for a positive surprise in the near future.
Predictive Power of Earnings ESP
While a negative Earnings ESP can diminish its forecasting accuracy, it does not necessarily mean a company will miss its earnings targets. Many firms exceed consensus EPS estimates, yet their stock performance can vary. Conversely, some stocks may hold their value even if they fall short of estimates.
Thus, it’s essential to analyze a company’s Earnings ESP prior to its quarterly announcements to boost your chances of making sound investment decisions. Utilize our Earnings ESP Filter to discover top stocks for potential buying or selling opportunities before earnings are reported.
Expert Stock Picks
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This company is targeting millennial and Gen Z markets, boasting nearly $1 billion in revenue last quarter alone. Given a recent dip in stock price, now is an opportune time to invest. Not all of our picks will succeed, but this one could exceed impressive previous selections from Zacks, such as Nano-X Imaging, which surged +129.6% in just over nine months.
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Boston Scientific Corporation (BSX): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
