Should You Sell Huntsman (HUN) Before Earnings?
Looking for a stock that might be in a good position to beat earnings at its next report? Consider Huntsman Corporation HUN, a firm in the Chemicals 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, HUN has beaten estimates by at least 30% in both cases, suggesting it has a nice short-term history of crushing expectations.
Earnings in Focus
Two quarters ago, HUN expected to post earnings of 21 cents per share, while it actually produced earnings of 51 cents per share, a significant beat. Meanwhile, for the most recent quarter, the company looked to deliver earnings of 23 cents per share, while it actually produced earnings of 37 cents per share instead, a beat of 60.9%.
HUNTSMAN CORP Price and EPS Surprise
HUNTSMAN CORP Price and EPS Surprise | HUNTSMAN CORP Quote
Thanks in part to this history, recent estimates have been moving higher for Huntsman. In fact, the Earnings ESP for HUN 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 HUN, as the firm currently has a Zacks Earnings ESP of 7.84%, so another beat could be around the corner.
This is particularly true when you consider that HUN has a great Zacks Rank #2 (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 HUN could see another beat at its next report, especially if recent trends are any guide.
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HUNTSMAN CORP (HUN): Free Stock Analysis Report
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