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3 Stocks to Watch After Pleasant EPS Surprises: ADP, FLEX, VFC
ADPADP(ADP) ZACKS·2025-01-30 01:50

Core Viewpoint - Several companies are showcasing strong quarterly results, particularly three top-rated stocks that have exceeded earnings expectations, indicating potential investment opportunities in the tech and apparel sectors [1]. Group 1: V.F. Corporation (VFC) - V.F. Corporation reported an EPS surprise of 82.35%, with earnings of 0.62persharecomparedtoestimatesof0.62 per share compared to estimates of 0.34 [2]. - The company's Q3 earnings increased from 0.54pershareinthesamequarterlastyear,benefitingfromitsnicheinskateboardandsurf−relatedfootwear[3].−Earningsestimaterevisionsforfiscal2025haverecentlyincreased,withFY26EPSrevisionsrisingby90.54 per share in the same quarter last year, benefiting from its niche in skateboard and surf-related footwear [3]. - Earnings estimate revisions for fiscal 2025 have recently increased, with FY26 EPS revisions rising by 9% over the last 30 days [3]. Group 2: Flex (FLEX) - Flex posted a 20.31% EPS surprise, achieving Q3 EPS of 0.77 against estimates of 0.64[4].−Thecompanyoperatesin30countriesandhasexceededtheZacksEPSConsensusfor22consecutivequarters,indicatingconsistentperformance[5].Group3:AutomaticDataProcessing(ADP)−ADPachieveda3.520.64 [4]. - The company operates in 30 countries and has exceeded the Zacks EPS Consensus for 22 consecutive quarters, indicating consistent performance [5]. Group 3: Automatic Data Processing (ADP) - ADP achieved a 3.52% EPS surprise, with Q2 EPS of 2.35, which is a 10% increase from the previous year and above estimates of $2.27 [7]. - The company is forecasted to have 8% EPS growth in FY25 and FY26, contributing to its stock reaching new 52-week highs [8]. - ADP has a strong dividend history, being a "Dividend King" with 50 consecutive years of payout increases [8].