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Becton, Dickinson (BDX) Q4 Earnings: What's in the Cards?

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Becton, Dickinson and CompanyBDX is set to report fourth-quarter fiscal 2016 earnings results on Nov 3. Last quarter, the company reported earnings of $2.35 per share, which beat the Zacks Consensus Estimate of $2.19.

Notably, Becton, Dickinson's results compared favorably with the Zacks Consensus Estimate in the last four quarters, resulting in an average beat of 6.25%.

Let's see how things are shaping up prior to this announcement.

Factors at Play

Becton, Dickinson's innovative product pipeline is a key catalyst in our view. A plethora of regulatory approvals both in the U.S. and International markets are helping the company to rapidly expand its product portfolio.

Management at Becton, Dickinson expects strong demand for its Pyxis ES platform and infusion pumps to be the primary growth drivers in the fiscal fourth quarter.

Additionally, partnerships and collaborations are also providing the company a competitive edge. Moreover, the CareFusion merger has unlocked considerable growth and cost saving opportunities for Becton, Dickinson.

However, an unfavorable foreign exchange rate is anticipated to remain a headwind for the rest of year. Tough year-over-year comparisons in the fiscal fourth quarter also pose as concerns.

BECTON DICKINSO Price and EPS Surprise

BECTON DICKINSO Price and EPS Surprise | BECTON DICKINSO Quote

Earnings Whispers

Our proven model does not conclusively show that Becton, Dickinson is likely to beat on earnings this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank of #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.

Zacks ESP: Becton, Dickinson currently has an Earnings ESP of -1.44%. This is because the Most Accurate estimate stands at $2.06 and the Zacks Consensus Estimate is pegged at $2.09. Please check our Earnings ESP Filter that enables you find stocks that are expected to come out with earnings surprises.

Zacks Rank: Becton, Dickinson has a Zacks Rank #3 which increases the predictive power of ESP. However, a negative ESP makes surprise prediction difficult.

We caution against stocks with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.

Stocks to Consider

Here are some companies you may want to consider as our model shows they have the right combination of elements to post an earnings beat this quarter:

Glaukos Corporation GKOS has an Earnings ESP of +100% and a Zacks Rank #1. You can see the complete list of today's Zacks #1 Rank stocks here .

Penumbra, Inc. PEN has an Earnings ESP of +45.46% and a Zacks Rank #3.

Invuity, Inc. IVTY has an Earnings ESP of +1.61% and a Zacks Rank #2.

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BECTON DICKINSO (BDX): Free Stock Analysis Report

PENUMBRA INC (PEN): Free Stock Analysis Report

GLAUKOS CORP (GKOS): Free Stock Analysis Report

INVUITY INC (IVTY): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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