Markets
MFC

Why Manulife (MFC) Might Surprise This Earnings Season

Investors are always looking for stocks that are poised to beat at earnings season and Manulife Financial CorporationMFC 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 Manulife 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 MFC in this report.

In fact, the Most Accurate Estimate for the current quarter is currently at 51 cents per share for MFC, compared to a broader Zacks Consensus Estimate of 50 cents per share. This suggests that analysts have very recently bumped up their estimates for MFC, giving the stock a Zacks Earnings ESP of +0.83% heading into earnings season.

Manulife Financial Corp Price and EPS Surprise

Manulife Financial Corp Price and EPS Surprise | Manulife Financial Corp 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 MFC has a Zacks Rank #3 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 (Strong Buy) stocks here .

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

Today's Stocks from Zacks' Hottest Strategies

It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.

And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.

See Them Free>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Manulife Financial Corp (MFC): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

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.

In This Story

MFC

Other Topics

Earnings Investing Stocks