Welcome to Extreme Investor Network, where we provide you with unique insights and expert analysis on the latest trends in investing. Today, we are diving into the world of earnings momentum and how it can impact your investment strategy.
As we approach the end of the third-quarter earnings season, we have identified a handful of stocks that have momentum behind them heading into their quarterly results next week. The current earnings season is exceeding forecasts for growth, with approximately 64% of S & P 500 companies reporting results showing earnings growth of more than 9%.
One such stock to watch is DuPont, a multinational chemical firm that has seen its shares rise more than 8% in 2024. Analysts have raised their earnings forecasts for DuPont by more than 23% over the past three months and 29% over the past six months. While Wolfe Research analyst Chris Parkinson remains cautious with a peer perform rating on DuPont stock, he is optimistic about the company’s forthcoming results and potential positive catalysts that could drive growth in 2025.
Another standout stock is Constellation Energy, with earnings forecasts surging 215% in the past three months and shares more than doubling in 2024. JPMorgan Chase analyst Jeremy Tonet highlighted Constellation’s strong balance sheet and growth potential in nuclear generation contracts as key factors driving the stock’s momentum.
In addition to DuPont and Constellation Energy, other stocks with accelerating momentum include Howmet Aerospace and Emerson Electric. These stocks have met specific criteria, including earnings estimates increasing by 15% in the past three and six months, an average upside to analysts’ price targets of 10% or more, and being rated as a buy by at least 50% of analysts.
Stay tuned to Extreme Investor Network for more updates on the latest earnings trends and market insights to help you make informed investment decisions. Remember, when it comes to investing, knowledge is power.