Core Viewpoint - The market anticipates Smurfit Westrock (SW) will report a year-over-year increase in earnings driven by higher revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - The upcoming earnings report is expected on February 12, 2025, with a consensus EPS estimate of 7.8 billion, marking a 68.8% increase from the previous year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 9.18%, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4][10]. - The Most Accurate Estimate is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -13% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likelihood of actual earnings deviating from consensus estimates, with positive readings being more predictive of earnings beats [6][7]. - Stocks with a positive Earnings ESP and a Zacks Rank of 1, 2, or 3 have historically shown a nearly 70% chance of delivering a positive surprise [8]. Historical Performance - In the last reported quarter, Smurfit Westrock was expected to post earnings of 0.48, resulting in a surprise of -32.39% [12]. - The company has only beaten consensus EPS estimates once in the last four quarters [13]. Conclusion - Smurfit Westrock does not currently appear to be a strong candidate for an earnings beat, and investors should consider other factors when making decisions regarding the stock ahead of the earnings release [16].
Smurfit Westrock (SW) Reports Next Week: Wall Street Expects Earnings Growth