Earning season kicked off in earnest last week with some of the biggest banks releasing their results for Q2. Citigroup (C), JPMorgan Chase (JPM) and Wells Fargo (WFC) all traded lower following the release of their Q2 results on Friday. JP Morgan, for example, posted a strong top and bottom line beat, but also reduced guidance for net interest income- disappointing the market and sending shares down 2%.
This week will bring a further slew of reports- and in advance we wanted to find the top stocks to track to stay one step ahead of the market. We turned to TipRanks’ unique earnings calendar which reveals stocks with upcoming reports, and allows you to refine the list to specific sectors, market cap size and analyst consensus outlook. In this case we filtered the calendar to only ‘Strong Buy’ or ‘Moderate Buy’ stocks from all sectors and of all sizes.
Now let’s delve deeper into what the Street is predicting for these top stocks in the coming week:
Monday Earnings – Netflix (NFLX)
On July 17, internet video giant Netflix is releasing its Q2 results. We can see that the stock has a consensus rating of Moderate Buy and anticipated EPS of $0.16- a huge improvement from the $0.1 EPS in the same period last year.
Top RBC Capital analyst Mark Mahaney has issued a ‘cheat sheet’ in advance of the results. He is expecting $0.15 EPS and $2.76 billion in revenue, and lists three key factors to focus on in the report: subscription trends (which should show 600,000 new US subscriptions), domestic streaming margins and international profitability.
With a $175 price target, Mahaney is bullish on Netflix and praises the company’s very high satisfaction levels and positive traffic trends in the US, France and Germany.
Tuesday Earnings- Bank of America (BAC)
Bank of America – the second largest bank in the US- is due to release its earnings results on July 18. Analysts are predicting EPS of $0.47 up from just $0.4 last year. In fact, the stock has a ‘Strong Buy’ analyst consensus rating, with analysts predicting average upside of 8.6% over the next 12 months.
