Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

What's In The Cards For Waters Corp (WAT) In Q1 Earnings?

Published 04/18/2018, 11:03 PM
Updated 07/09/2023, 06:31 AM

Waters Corp (NYSE:WAT) is scheduled to report first-quarter 2018 earnings on Apr 24.

The company beat the Zacks Consensus Estimate in the trailing four quarters, with an average positive surprise of 4.17%. In fourth-quarter 2017, earnings of $2.51 per share outpaced the Zacks Consensus Estimate by 7 cents.

Net sales of $687 million beat the consensus mark and increased 9% year over year. The growth was driven by robust performance in the bio/pharmaceutical end markets, and the government and academic market.

Shares have returned 8.7% year to date compared with the industry’s decline of 0.9%.



Factors to Consider

Waters Corp’s leading position in the high-performance liquid chromatography and mass spectrometry markets is its key strength and has acted as a sturdy revenue driver for the past few quarters. The company is anticipated to benefit from strong growth potential in pharmaceutical business.

The company is also witnessing encouraging trends in its industrial businesses driven by increasing regulation around food safety and quality, strict conditions for food testing, along with environmental and fine chemical applications.

Waters Corporation Price and EPS Surprise

Waters Corporation Price and EPS Surprise | Waters Corporation Quote

The governmental and academic markets have also turned its performance around and looks poised to maintain the growth trend, in the to-be-reported quarter.

However, fluctuating demand in the Americas remains a concern. Further, rising outlay on the company’s research & development will push expenses higher and hurt immediate profits. Moreover, intensifying competition is a key concern.

What Our Model Says

According to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) along with a positive Earnings ESP has a good chance of beating estimates. The Sell-rated stocks (Zacks Rank #4 or 5) are best avoided.

Waters Corp has a Zacks Rank #2 and an Earnings ESP of 1.63%, which indicates a likely positive surprise. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Other Stocks to Consider

Here are few other stocks you may consider as our proven model shows that these too have the right combination of elements to post an earnings beat this quarter.

Western Digital (NASDAQ:WDC) has an Earnings ESP of +2.20% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Paycom Software (NYSE:PAYC) has an Earnings ESP of +0.33% and a Zacks Rank #1.

GrubHub (NYSE:GRUB) has an Earnings ESP of +2.78% and a Zacks Rank #2.

The Hottest Tech Mega-Trend of All

Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>



Western Digital Corporation (WDC): Free Stock Analysis Report

Paycom Software, Inc. (PAYC): Free Stock Analysis Report

GrubHub Inc. (GRUB): Free Stock Analysis Report

Waters Corporation (WAT): Free Stock Analysis Report

Original post

Zacks Investment Research

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.