Looking for Stocks with Positive Earnings Momentum? Check Out These 2 Oils-Energy Names

Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important.

The earnings figure itself is key, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb even higher.

2 Stocks to Add to Your Watchlist

The Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate. The core of the ESP model is comparing the Most Accurate Estimate to the Zacks Consensus Estimate, where the resulting percentage difference between the two equals the Expected Surprise Prediction.

The final step today is to look at a stock that meets our ESP qualifications. Valero Energy (VLO) earns a Zacks Rank #1 30 days from its next quarterly earnings release on July 28, 2022, and its Most Accurate Estimate comes in at $7.58 a share.

By taking the percentage difference between the $7.58 Most Accurate Estimate and the $6.33 Zacks Consensus Estimate, Valero Energy has an Earnings ESP of 19.76%.

VLO is just one of a large group of Oils-Energy stocks with a positive ESP figure. Williams Companies, Inc. The (WMB) is another qualifying stock you may want to consider.

Williams Companies, Inc. The is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on August 1, 2022. WMB's Most Accurate Estimate sits at $0.38 a share 34 days from its next earnings release.

Williams Companies, Inc. The's Earnings ESP figure currently stands at 2.46% after taking the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $0.37.

VLO and WMB's positive ESP metrics may signal that a positive earnings surprise for both stocks is on the horizon.

Find Stocks to Buy or Sell Before They're Reported

Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>

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Valero Energy Corporation (VLO) : Free Stock Analysis Report
 
Williams Companies, Inc. The (WMB) : Free Stock Analysis Report
 
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