Pilgrim's Pride (PPC) Queues for Q2 Earnings: What's in Store?
Pilgrim's Pride Corporation PPC is likely to register a bottom-line decline when it reports second-quarter 2023 earnings on Jul 26.
The Zacks Consensus Estimate for the bottom line has remained unchanged at 28 cents per share over the past 30 days. The projection indicates a slump of 81.8% from the figure reported in the year-ago period quarter. Pilgrim's Pride has a trailing four-quarter earnings surprise of 320.9%, on average.
Factors to Consider
Pilgrim's Pride has been grappling with an increased cost of sales for a while. On its first-quarter 2023 earnings call, management highlighted that it witnessed dramatic inflation throughout the supply chain, including grain inputs, labor and utilities and other distinct challenging economic conditions in every region.
Pilgrim's Pride Corporation Price, Consensus and EPS Surprise
Pilgrim's Pride Corporation price-consensus-eps-surprise-chart | Pilgrim's Pride Corporation Quote
During the first quarter, Pilgrim's Pride’s cost of sales increased to $3,992.6 million from $3,698.4 million reported in the year-ago quarter. Any persistence of this trend is a concern for the quarter under review.
However, the company’s focus on key customers is a pathway for refining its portfolio and creating competitive advantages over its peers. Apart from this, Pilgrim's Pride has been steadily augmenting marketing support of its brands, as they expand and enter new regions.
The company’s foodservice business has been witnessing rising demand. Consumer traffic remains stable with higher promotions of chicken items. Strength in Mexico and Europe businesses have also been upsides.
What the Zacks Model Unveils
Our proven model doesn’t conclusively predict an earnings beat for Pilgrim's Pride this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is not the case here.
Pilgrim's Pride has an Earnings ESP of 0.00% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With the Favorable Combination
Here are three companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:
Beyond Meat BYND currently has an Earnings ESP of +14.60% and a Zacks Rank of 2. BYND is expected to register a top-line decrease when it reports second-quarter 2023 numbers. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Beyond Meat’s quarterly revenues is pegged at roughly $111.3 million, calling for a decline of 24.3% from the prior-year quarter’s reported figure. The Zacks Consensus Estimate for the bottom line is pegged at a loss of 81 cents, which suggests an improvement of 47.1% from the figure reported in the year-ago fiscal quarter. BYND has a trailing four-quarter negative earnings surprise of 14.1%, on average.
Coty COTY currently has an Earnings ESP of +28.57% and a Zacks Rank #2. The company’s top and bottom lines are expected to increase year over year when it reports fourth-quarter fiscal 2023 results. The Zacks Consensus Estimate for Coty’s quarterly revenues is pegged at $1.3 billion, which implies a rise of 13.2% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for the quarterly EPS is pegged at 2 cents, which indicates 300% growth from the year-ago period figure. COTY has a trailing four-quarter earnings surprise of 145%, on average.
Church & Dwight CHD currently has an Earnings ESP of +0.51% and a Zacks Rank #2. The company’s top and bottom lines are expected to increase year over year when it reports second-quarter 2023 results. The Zacks Consensus Estimate for Church & Dwight’s quarterly revenues is pegged at $1.4 billion, which implies a rise of 7% from the figure reported in the prior-year quarter.
The Zacks Consensus Estimate for the quarterly EPS is pegged at 79 cents, which indicates a 4% increase from the year-ago period figure. CHD has a trailing four-quarter earnings surprise of 9.8%, on average.
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Church & Dwight Co., Inc. (CHD) : Free Stock Analysis Report
Pilgrim's Pride Corporation (PPC) : Free Stock Analysis Report
Coty (COTY) : Free Stock Analysis Report
Beyond Meat, Inc. (BYND) : Free Stock Analysis Report
