Why the Earnings Streak Will Continue for Curtiss-Wright (CW)

Looking for a stock that might be in a good position to beat earnings at its next report? Consider Curtiss-Wright Corporation CW, a firm in the Aerospace – Defense Equipment industry, which could be a great candidate for another beat.

This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. In fact, in these reports, CW has beaten estimates by at least 15% in both cases, suggesting it has a nice short-term history of crushing expectations.

Earnings in Focus

Two quarters ago, CW was expected to post 97 cents per share, while it actually produced $1.13 per share, a beat of 16.5%. Meanwhile, for the most recent quarter, the company looked to deliver $1.22 per share, when it actually saw $1.43 per share instead, representing a 17.2% positive surprise.

Thanks in part to this history, recent estimates have been moving higher for Curtiss-Wright. In fact, the Earnings ESP for CW 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 CW, as the firm currently has a Zacks Earnings ESP of +0.49%, so another beat could be around the corner.

This is particularly true when you consider that CW has a great Zacks Rank #1 (Strong Buy), which can be a harbinger of outperformance and a signal for a strong earnings profile. You can see the complete list of today’s Zacks #1 Rank stocks here.

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 CW could see another beat at its next report, especially if recent trends are any guide.

Zacks’ Best Private Investment Ideas

While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.

Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors.

Click here for Zacks' private trades >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

To read this article on Zacks.com click here.