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What's in Store for Voxeljet (VJET) This Earnings Season?

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Voxeljet AGVJET is slated to report third-quarter 2015 results on Nov 12, 2015, after the closing bell.

Last quarter, the company posted a positive earnings surprise of 23.53%.

Let us see how things are shaping up for this announcement.

Factors to Consider

Voxeljet witnessed sluggish earnings results in the first half of 2015 owing to high operating expenses. Especially, the company has been suffering due to rise in its Long Term Cash Incentive Plan (LTCIP) related expenses. Apart from this, foreign currency exchange costs acted as the headwinds. If this problem persists, Voxeljet might report meek results this earnings season.

Nevertheless, Voxeljet's revenues have been seeing an upward trend fueled by strong demand for both systems and on-demand printed parts. Especially, sand and plastic parts of Voxeljet generated record revenues. This could continue to help the company tide over in third-quarter 2015.

Management has cited certain key drivers, which are expected to benefit its earnings in the third quarter and fourth quarter of 2015. These are - rise in global Systems sales; high contribution from its Services facility in Michigan, Voxeljet of America; continual Services revenue growth at its German facility; and a strong revenue contribution from its Services facility outside England, Voxeljet UK.

Earnings Whispers?

Our proven model does not conclusively show that Voxeljet will beat earnings this season. This is because a stock needs to have both a positive Earnings ESP (Expected Surprise Prediction) and a Zacks Rank #1(Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. This is not the case here, as you will see below.

Zacks ESP: Both the Most Accurate estimate and the Zacks Consensus Estimate stand at a loss of 14 cents. Hence, the difference is 0.00%.

Zacks Rank: Voxeljet's Zacks Rank #3 (Hold) when combined with 0.00% Earnings ESP makes surprise prediction difficult. Note that stocks with a Zacks Rank #1, 2 or 3 have a significantly higher chance of beating earnings.

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

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:

Abeona Therapeutics Inc.ABEO has an Earnings ESP of +36.36% and a Zacks Rank #3.

Aurinia Pharmaceuticals Inc.AUPH has an Earnings ESP of +21.74% and a Zacks Rank #2.

Ryerson Holding Corp.RYI has an Earnings ESP of +44.44% and a Zacks Rank #3.

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VOXELJET AG-ADR (VJET): Free Stock Analysis Report

RYERSON HOLDING (RYI): Free Stock Analysis Report

AURINIA PHARMA (AUPH): Free Stock Analysis Report

ABEONA THERAPTC (ABEO): 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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