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Should You Sell Carbonite (CARB) Before Earnings?

Investors are always looking for stocks that are poised to beat at earnings season and Carbonite, Inc. (CARB) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.

That is because Carbonite is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings-with the most up-to-date information possible-is a pretty good indicator of some favorable trends underneath the surface for CARB in this report.

In fact, the Most Accurate Estimate for the current quarter is currently at four cents per share for CARB, compared to a broader Zacks Consensus Estimate of two cents per share. This suggests that analysts have very recently bumped up their estimates for CARB, giving the stock a Zacks Earnings ESP of 100.00% heading into earnings season.

Why is this Important?

A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10 year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here).

Given that CARB has a Zacks Rank #1 (Strong Buy) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today's Zacks #1 Rank stocks here.

Clearly, recent earnings estimate revisions suggest that good things are ahead for Carbonite, and that a beat might be in the cards for the upcoming report.

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Investors are always looking for stocks that are poised to beat at earnings season and Carbonite, Inc. (CARB) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.

That is because Carbonite is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings-with the most up-to-date information possible-is a pretty good indicator of some favorable trends underneath the surface for CARB in this report.

In fact, the Most Accurate Estimate for the current quarter is currently at four cents per share for CARB, compared to a broader Zacks Consensus Estimate of two cents per share. This suggests that analysts have very recently bumped up their estimates for CARB, giving the stock a Zacks Earnings ESP of 100.00% heading into earnings season.

Why is this Important?

A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10 year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here).

Given that CARB has a Zacks Rank #1 (Strong Buy) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today's Zacks #1 Rank stocks here.

Clearly, recent earnings estimate revisions suggest that good things are ahead for Carbonite, and that a beat might be in the cards for the upcoming report.

Just Released - Driverless Cars: Your Roadmap to Mega-Profits Today

In this latest Special Report, Zacks' Aggressive Growth Strategist Brian Bolan explores a full-blown technological breakthrough in the making - autonomous cars. He also spotlights 8 stocks with tremendous gain potential to feed off this phenomenon. Click to see the stocks right now >>

Investors are always looking for stocks that are poised to beat at earnings season and Carbonite, Inc. (CARB) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.

That is because Carbonite is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings-with the most up-to-date information possible-is a pretty good indicator of some favorable trends underneath the surface for CARB in this report.

In fact, the Most Accurate Estimate for the current quarter is currently at four cents per share for CARB, compared to a broader Zacks Consensus Estimate of two cents per share. This suggests that analysts have very recently bumped up their estimates for CARB, giving the stock a Zacks Earnings ESP of 100.00% heading into earnings season.

Why is this Important?

A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10 year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here).

Given that CARB has a Zacks Rank #1 (Strong Buy) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today's Zacks #1 Rank stocks here.

Clearly, recent earnings estimate revisions suggest that good things are ahead for Carbonite, and that a beat might be in the cards for the upcoming report.

Just Released - Driverless Cars: Your Roadmap to Mega-Profits Today

In this latest Special Report, Zacks' Aggressive Growth Strategist Brian Bolan explores a full-blown technological breakthrough in the making - autonomous cars. He also spotlights 8 stocks with tremendous gain potential to feed off this phenomenon. Click to see the stocks right now >>

Investors are always looking for stocks that are poised to beat at earnings season and Carbonite, Inc.CARB may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.

That is because Carbonite is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings-with the most up-to-date information possible-is a pretty good indicator of some favorable trends underneath the surface for CARB in this report.

In fact, the Most Accurate Estimate for the current quarter is currently at four cents per share for CARB, compared to a broader Zacks Consensus Estimate of two cents per share. This suggests that analysts have very recently bumped up their estimates for CARB, giving the stock a Zacks Earnings ESP of 100.00% heading into earnings season.

Carbonite, Inc. Price and EPS Surprise

Carbonite, Inc. Price and EPS Surprise | Carbonite, Inc. Quote

Why is this Important?

A positive reading for the Zacks Earnings ESP has proven to be very powerful in producing both positive surprises, and outperforming the market. Our recent 10 year backtest shows that stocks that have a positive Earnings ESP and a Zacks Rank #3 (Hold) or better show a positive surprise nearly 70% of the time, and have returned over 28% on average in annual returns (see more Top Earnings ESP stocks here ).

Given that CARB has a Zacks Rank #1 (Strong Buy) and an ESP in positive territory, investors might want to consider this stock ahead of earnings. You can see the complete list of today's Zacks #1 Rank stocks here.

Clearly, recent earnings estimate revisions suggest that good things are ahead for Carbonite, and that a beat might be in the cards for the upcoming report.

Just Released - Driverless Cars: Your Roadmap to Mega-Profits Today

In this latest Special Report, Zacks' Aggressive Growth Strategist Brian Bolan explores a full-blown technological breakthrough in the making - autonomous cars. He also spotlights 8 stocks with tremendous gain potential to feed off this phenomenon. Click to see the stocks right now >>

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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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