The ADT Corporation
) is scheduled to report second quarter 2014 results before the
opening bell on Apr 30. In the last reported quarter, the
adjusted earnings of the company missed the Zacks Consensus
Estimate. Let's see how things are shaping up for this
Growth Factors in the Second Quarter
ADT is focusing to create a strong brand, differentiated
services, quality customer care and monitoring and product
innovation which are likely to be the key ingredients for
The company is investing in its core business, improving its
operating efficiency and pursuing acquisitions to complement its
organic growth. Also, ADT's decent operating platform and
cost-saving initiatives keep us bullish on the stock.
The company is also working with
Ford Motor Co
) to integrate the ADT Pulse app with the Ford SYNC AppLink,
enabling drivers of equipped Ford vehicles to control aspects of
the home using voice commands. This should serve well for its
customers in the future. With the launch of new partnerships and
new products, the company expects to gain additional traction in
its business throughout the forthcoming year.
Why a Likely Positive Surprise?
Our proven model shows that ADT is likely to beat earnings
since it has the appropriate combination of two key
Positive Zacks ESP
, which represents the difference between the Most Accurate
Estimate and the Zacks Consensus Estimate, is +4.55%. This
indicates a likely positive earnings surprise.
Zacks Rank #3 (Hold)
: Stocks with a Zacks Ranks of #1, #2 and #3 have a significantly
higher chance of beating earnings. The Sell-rated stocks (#4 and
#5) should never be considered while going into an earnings
ADT's Zacks Rank #3 increases the predictive power of its ESP.
The combination of its Zacks Rank and Earnings ESP make us
confident of a positive earnings surprise in the soon-to-be
Other Stocks to Consider
Here are some companies you may want to consider as our model
shows that they have the right combination of elements to post an
earnings beat in the imminent future.
Inernational Paper Company
) has an Earnings ESP of +1.75% and a Zacks Rank #3 (Hold).
Mobile Mini, Inc
) has an Earnings ESP of +5.26 % and a Zacks Rank #2 (Buy)
Manitex International, Inc
) has an Earnings ESP of +5.56% and a Zacks Rank #3 (Hold).
ADT CORP (ADT): Free Stock Analysis Report
FORD MOTOR CO (F): Free Stock Analysis Report
INTL PAPER (IP): Free Stock Analysis Report
MOBILE MINI INC (MINI): Free Stock Analysis
MANITEX INT INC (MNTX): Free Stock Analysis
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