Back to top
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Automatic Data Processing, Inc. (ADP) - free report >>
We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. By pressing "Accept All" or closing out of this banner, you accept our Privacy Policy and Terms of Service, revised from time to time, and you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties. You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Automatic Data Processing, Inc. (ADP) - free report >>
Image: Bigstock
3 Stocks to Watch After Pleasant EPS Surprises: ADP, FLEX, VFC
More companies are starting to stand out in an exciting week that features quarterly results from four of the Magnificent 7 themed big tech stocks.
Exceeding their quarterly expectations this morning, here are three top-rated Zacks stocks to consider after posting pleasant EPS surprises.
V.F. Corporation - VFC
EPS Surprise: 82.35%
Boasting a Zacks Rank #1 (Strong Buy), we’ll start with textile apparel company V.F. Corporation (VFC - Free Report) . Reporting results for its fiscal third quarter, V.F. Corporation blasted Q3 EPS expectations by 82% with earnings at $0.62 per share compared to estimates of $0.34.
V.F. Corporation’s Q3 earnings increased from $0.54 a share in the comparative quarter as the company appears to be taking advantage of its niche as an apparel provider that offers skateboard and surf-related footwear.
Attributing to its strong buy rating is that earnings estimate revisions for fiscal 2025 were already a tad higher in the last week with FY26 EPS revisions spiking 9% over the last 30 days.
Image Source: Zacks Investment Research
Flex - FLEX
EPS Surprise: 20.31%
Posting a 20% EPS surprise, electronics products manufacturer Flex (FLEX - Free Report) has a Zacks Rank #2 (Buy). Also releasing results for its fiscal third quarter, Flex’s diverse workforce was on display with Q3 EPS at $0.77 versus estimates of $0.64. Having operations in 30 countries, Flex’s Q3 earnings stretched from tougher to compete against year-ago figures of $0.71 a share.
Trading at a reasonable 16.5X forward earnings multiple, it’s noteworthy that Flex has exceeded the Zacks EPS Consensus for an astonishing 22 consecutive quarters.
Image Source: Zacks Investment Research
Automatic Data Processing - ADP
EPS Surprise: 3.52%
While ADP's (ADP - Free Report) 3% EPS surprise doesn’t jump off the page, the outsourcing company was able to beat lofty expectations for its fiscal second quarter. Furthermore, Q2 EPS of $2.35 spiked 10% from a year ago in addition to beating estimates of $2.27.
Sporting a Zacks Rank #2 (Buy), the Human Capital Management (HCM) provider saw its stock hit new 52-week peaks of $311 on Wednesday. Forecast of 8% EPS growth in FY25 and FY26 could keep the rally going. Plus, ADP has become a “Dividend King” after increasing its payout for 50 consecutive years.
Image Source: Zacks Investment Research
Bottom Line
Able to exceed their quarterly sales estimates as well, VFC, FLEX, and ADP will be three of the more intriguing stocks to watch in the coming weeks.