Eli Lilly and Company
) to beat earnings expectations when it reports first-quarter
2013 results before the opening bell on Apr 24, 2013.
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Why a Likely Positive Surprise?
Our proven model shows that Eli Lilly has the right combination
of two key ingredients to beat earnings.
Positive Zacks ESP
: The earnings Expected Surprise Prediction (ESP) (Read: Zacks
Earnings ESP: A Better Method) for Eli Lilly is +3.85% - the
difference between the Most Accurate earnings estimate of $1.08
per share and the Zacks Consensus Estimate of $1.04 per share.
This indicates a likely positive earnings surprise.
Zacks Rank #3 (Hold)
: Note that stocks with Zacks Rank 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
The combination of Eli Lilly's Zacks Rank and Earnings ESP makes
us confident of a positive earnings surprise in the
Drivers of Better-than-Expected Earnings
This global healthcare company has delivered positive earnings
surprises in three of the last four quarters with an average beat
of 7.47%. Eli Lilly boasts of a wide range of products that serve
a vast number of therapeutic areas. The company focuses primarily
on central nervous system disorders, metabolic diseases,
autoimmune diseases, cardiovascular diseases and cancer, which
are all high growth areas and represent significant commercial
We are also impressed by Eli Lilly's efforts to expand in key
markets. Moreover, the company's efforts to develop its pipeline
Other Stocks to Consider
Eli Lilly is not the only company looking up this earnings
season. Here are some other stocks you may want to consider as
our model shows these have the right combination of elements to
post an earnings beat this season:
Gilead Sciences Inc.
) has an earnings ESP of +2.08% and carries a Zacks Rank #3.
) has an earnings ESP of +11.77% and holds a Zacks Rank #3.
) has an earnings ESP of +0.80% and holds a Zacks Rank #3.