by David Aurelio.
The StarMine team has selected five North American companies, using Eikon Screener by Refinitiv, that we expect to miss 18Q4 earnings estimates, based on SmartEstimate® and Predicted Surprise data.
Our North American selections for 2018 Q3 negative Predicted Surprises were 80% accurate, which can be seen here. Historically (since 2011 Q4), our negative Predicted Surprise picks have demonstrated an accuracy rate of about 65.9%, giving investors an edge ahead of earnings announcements.
Our North American picks for negative Predicted Surprises in 2018 Q4 are — Resolute Energy Corp (REN.N), Western Digital Corp (WDC.O), Coherent Inc (COHR.O), Visteon Corp (VC.O), and Patrick Industries Inc (PATK.O).
SmartEstimates® aim to provide earnings forecasts that are more accurate than I/B/E/S Consensus Estimates, by putting more weight on the recent forecasts of top-rated analysts. When SmartEstimates® diverge significantly from Consensus, you can anticipate the occurrence of earnings surprises with an accuracy rate of 70%. Revenue SmartEstimates® are even more predictive of surprises, with a historical accuracy rate of 78%.
Resolute Energy Corp (REN.N)
Western Digital Corp (WDC.O)
Coherent Inc (COHR.O)
Visteon Corp (VC.O)
Patrick Industries Inc (PATK.O)
Interested in learning how you can use the StarMine SmartEstimate® and Predicted Surprise® to avoid earnings misses and find earnings beats? Learn more here.
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