) is set to report third-quarter 2013 results on Oct 22. Last
quarter, the company posted in-line earnings. Let's see how
things are shaping up for this announcement.
Growth Factors This Past Quarter
Altera delivered mixed second-quarter 2013 results with
earnings beating the Zacks Consensus Estimate but revenues
missing the same. Overall, year-over-year performances were weak
while sequential performances provided some hope. The
year-over-year decline was primarily due to weakness in
mainstream and matured products, almost all the end-markets
(barring auto, industrial & military) and the Americas and
However, Altera provided encouraging guidance, citing some
turnaround in the end markets. Moreover, the company's
) is likely to be a competitive differentiator and boost its
long-term growth fundamentals. Additionally, the company's solid
book-to-bill ratio and backlog position are encouraging.
Our proven model does not conclusively show that Altera will
beat earnings this quarter. That is because a stock needs to have
both a positive
and a Zacks Rank #1, 2 or 3 for this to happen. That is not the
case here as you will see below.
Both the Most Accurate estimate and the Zacks Consensus Estimate
stand at 34 cents. Hence, the difference is 0.00%.
Altera's Zacks Rank #3 (Hold) when combined with a 0.00% ESP
makes surprise prediction difficult.
We caution against stocks with Zacks Ranks #4 and 5
(Sell-rated stocks) going into the earnings announcement,
especially when the company is seeing negative estimate revisions
Other Stocks to Consider
Here are some other companies you may want to consider as our
model shows that they have the right combination of elements to
post an earnings beat this quarter:
), with Earnings ESP of +1.99% and a Zacks Rank #1 (Strong
), with Earnings ESP of +1.49% and a Zacks Rank #1 (Strong
ALTERA CORP (ALTR): Free Stock Analysis
FISERV INC (FISV): Free Stock Analysis Report
INTEL CORP (INTC): Free Stock Analysis Report
PLEXUS CORP (PLXS): Free Stock Analysis
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