We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
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.
Can Crown Holdings (CCK) Pull a Surprise in Q2 Earnings?
Read MoreHide Full Article
Crown Holdings, Inc. (CCK - Free Report) , the supplier of packaging products, is scheduled to release second-quarter 2017 financial numbers, after the market closes on Jul 19.
In the last reported quarter, the company posted a positive earnings surprise of 2.86%. Notably, Crown Holdings surpassed the Zacks Consensus Estimate in three out of the last four quarters, resulting in an average surprise of 3.34%.
Let’s see how things are shaping up prior to this announcement.
For the second quarter, Crown Holdings projects its adjusted earnings per share in the range of $1.05–$1.15, the mid-point indicating an 8% drop year over year. The company’s performance will be hurt by dismal global food and aerosol can sales unit volumes due to lower consumer spending. Further, volatile aluminum and steel prices are expected to dent its results in the to-be-reported quarter.
However, the company is anticipated to gain from the geographic expansion of its beverage can lines. Crown Holdings’ consistent efforts to evaluate select growth opportunities through capacity additions in existing plants, new plants in existing markets and improvement in product lines will likely aid its results in the quarter to be reported.
Earnings Whispers
Our proven model does not conclusively show that Crown Holdings will beat on earnings this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Crown Holdings has an Earnings ESP of 0.00%. That is because both the Most Accurate estimate and the Zacks Consensus Estimate are pegged at $1.09. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Crown Holdings has a Zacks Rank #2, which increases the predictive power of ESP. However, the company’s ESP of 0.00% makes surprise prediction difficult.
We caution against stocks with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Share Price Performance
Year to date, Crown Holdings has outperformed the Zacks classified Containers- Metal/ Glass sub-industry with respect to price performance. The stock gained around 13.45%, while the industry recorded growth of 12.34% over the same time frame.
Stocks to Consider
Here are some companies in the broader industrial products sector that have the right combination of elements to post an earnings beat this quarter:
Belden Inc. (BDC - Free Report) , with an Earnings ESP of +0.83% and a Zacks Rank #2, is scheduled to report its results on Aug 2.
Caterpillar Inc. (CAT - Free Report) , with an Earnings ESP of +15.46% and a Zacks Rank #3, is slated to report quarterly numbers on Jul 25.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020. Click here for the 6 trades >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Can Crown Holdings (CCK) Pull a Surprise in Q2 Earnings?
Crown Holdings, Inc. (CCK - Free Report) , the supplier of packaging products, is scheduled to release second-quarter 2017 financial numbers, after the market closes on Jul 19.
In the last reported quarter, the company posted a positive earnings surprise of 2.86%. Notably, Crown Holdings surpassed the Zacks Consensus Estimate in three out of the last four quarters, resulting in an average surprise of 3.34%.
Let’s see how things are shaping up prior to this announcement.
Crown Holdings, Inc. Price and EPS Surprise
Crown Holdings, Inc. Price and EPS Surprise | Crown Holdings, Inc. Quote
Factors at Play
For the second quarter, Crown Holdings projects its adjusted earnings per share in the range of $1.05–$1.15, the mid-point indicating an 8% drop year over year. The company’s performance will be hurt by dismal global food and aerosol can sales unit volumes due to lower consumer spending. Further, volatile aluminum and steel prices are expected to dent its results in the to-be-reported quarter.
However, the company is anticipated to gain from the geographic expansion of its beverage can lines. Crown Holdings’ consistent efforts to evaluate select growth opportunities through capacity additions in existing plants, new plants in existing markets and improvement in product lines will likely aid its results in the quarter to be reported.
Earnings Whispers
Our proven model does not conclusively show that Crown Holdings will beat on earnings this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Crown Holdings has an Earnings ESP of 0.00%. That is because both the Most Accurate estimate and the Zacks Consensus Estimate are pegged at $1.09. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Crown Holdings has a Zacks Rank #2, which increases the predictive power of ESP. However, the company’s ESP of 0.00% makes surprise prediction difficult.
We caution against stocks with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Share Price Performance
Year to date, Crown Holdings has outperformed the Zacks classified Containers- Metal/ Glass sub-industry with respect to price performance. The stock gained around 13.45%, while the industry recorded growth of 12.34% over the same time frame.
Stocks to Consider
Here are some companies in the broader industrial products sector that have the right combination of elements to post an earnings beat this quarter:
AGCO Corporation (AGCO - Free Report) , with an Earnings ESP of +0.97% and a Zacks Rank #1, is slated to release its quarterly numbers on Jul 27. You can see the complete list of today’s Zacks #1 Rank stocks here.
Belden Inc. (BDC - Free Report) , with an Earnings ESP of +0.83% and a Zacks Rank #2, is scheduled to report its results on Aug 2.
Caterpillar Inc. (CAT - Free Report) , with an Earnings ESP of +15.46% and a Zacks Rank #3, is slated to report quarterly numbers on Jul 25.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020. Click here for the 6 trades >>