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3 Buy-Ranked Stocks That Just Crushed Earnings

Published 07/25/2017, 01:18 AM
Updated 07/09/2023, 06:31 AM
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LLY
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The heart of earnings reason is upon us, as numerous companies provide updates on their firm’s performance over the past quarter. Of course, beating revenue and/or earnings estimates can positively affect a company’s financial outlook and share price, so it’s important for investors to stay tuned in right now.

A few key companies released impressive quarterly earnings reports Tuesday morning, and they look to have the potential to stir up investor interest in the near future. These earnings reports not only demonstrate the past quarter’s solid performance, but they also preview its financial outlook over its next operational quarter.

Check out these 3 companies that just performed extremely well this earnings season:

1. Caterpillar, Inc. ( (NYSE:CAT) )

Caterpillar posted an impressive earnings surprise of 18.25% with adjusted earnings per share of $1.49, which compares favorably to the Zacks Consensus Estimate of $1.26. Caterpillar’s reported earnings are good for an astounding 37% year-over-year increase, driven by the company’s disciplined cost-control efforts. Also, Caterpillar reported revenues of $11.3 billion, which beat the Zacks Consensus Estimate of $10.9 billion and represents 9.6% year-over-year growth. This impressive revenue growth was caused by a 25% rise in Asia Pacific construction sales, as well as 7% gain in North America.

Caterpillar’s earnings report also included full-year revenue guidance in the range of $42-$44 billion, which is an increase from the previously-expected range of $38-$41 billion. Additionally, Caterpillar now projects earnings of $5.00 per share, up substantially from its previous prediction of $3.75. Caterpillar currently sports a Zacks Rank #2 (Buy).

2. Eli Lilly and Company ( (NYSE:LLY) )

Eli Lilly and Company reported adjusted earnings per share of $1.11, which surpassed the Zacks Consensus Estimate of $1.04 by a solid 6.73%. Eli Lilly’s earnings demonstrate strong year-over-year growth of 29.06%. Furthermore, the company posted revenues of $5.82 billon, which surpassed the Zacks Consensus Estimate of $5.59 billion by a respectable 4.11%. The company’s reported revenue presents year-over-year growth of 7.8%. Revenue inside the U.S. increased by 15%, primarily due to high realized prices for several of its products, such as Cialis, Forteo, and Alimta.

For its next operational quarter, Eli Lilly projects EPS to fall in the range of $2.51 and $2.61. Also, the company raised its full-year revenue expectations from a range of $21.8-$22.3 billion to a range of $22.0-$22.5 billion. Eli Lilly and Company currently holds a Zacks Rank #2 (Buy).

3. T. Rowe Price Group, Inc. ( (NASDAQ:TROW) )

T.Rowe Price Group posted earnings per share of $1.28, which is a modest 1.6% beat of our Zacks Consensus Estimate of $1.26. However, the company notched impressive year-over-year EPS growth of 11.3%. Additionally, the firm reported net revenues of $1.2 billion, which beat the Zacks Consensus Estimate of $1.16 billion. T. Rowe Price’s revenues demonstrated strong year-over-year growth of 15.38%.

Assets Under Management for the massive investment advisor increased by $42 billion this quarter to $903.6 billion, which represents growth of 16.35% from the prior-year quarter. Advisory revenues from investment portfolios in the quarter were $289.6 million, an increase of 15.1% from the comparable 2016 quarter. Average assets under management for these portfolios increased 16.1% to $325.7 billion. The company did not provide updated guidance in its report, but investors might expect more good things to come from this Zacks Rank #2 (Buy) stock.

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Eli Lilly and Company (LLY): Free Stock Analysis Report

T. Rowe Price Group, Inc. (TROW): Free Stock Analysis Report

Caterpillar, Inc. (CAT): Free Stock Analysis Report

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