Will Acorda Therapeutics (ACOR) Crush Estimates at Its Next Earnings Report? – Tale of the Tape

This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. In fact, in these reports, ACOR has beaten estimates by at least 120% in both cases, suggesting it has a nice short-term history of crushing expectations.

Earnings in Focus

Two quarters ago, ACOR expected to earn 4 cents per share, while it actually produced earnings of 34 cents per share, a beat of 750.0%. Meanwhile, for the most recent quarter, the company looked to deliver earnings of 15 cents per share, when it actually saw earnings of 33 cents per share instead, representing a 120.0% positive surprise.

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

After all, the Zacks Earnings ESP compares the most accurate estimate to the broad consensus, looking to find stocks that have seen big revisions as of late, suggesting that analysts have recently become more bullish on the company’s earnings prospects. This is the case for ACOR, as the firm currently has a Zacks Earnings ESP of 87.50%, so another beat could be around the corner.

This is particularly true when you consider that ACOR has a great Zacks Rank #1 (Strong Buy) which can be a harbinger of outperformance and a signal for a strong earnings profile. And when you add this solid Zacks Rank to a positive Earnings ESP, a positive earnings surprise happens nearly 70% of the time, so it seems pretty likely that ACOR could see another beat at its next report, especially if recent trends are any guide.

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