Why Skyward (SKWD) is Poised to Beat Earnings Estimates Again

Core Viewpoint - Skyward Specialty Insurance (SKWD) is positioned well to potentially beat earnings estimates in its upcoming quarterly report, supported by a strong history of exceeding expectations [1]. Group 1: Earnings Performance - Skyward has a solid track record of surpassing earnings estimates, particularly in the last two quarters, with an average surprise of 7.42% [2]. - In the last reported quarter, Skyward achieved earnings of $0.80 per share, exceeding the Zacks Consensus Estimate of $0.77 per share, resulting in a surprise of 3.90% [3]. - For the previous quarter, the company was expected to report earnings of $0.64 per share but delivered $0.71 per share, yielding a surprise of 10.94% [3]. Group 2: Earnings Estimates and Predictions - Recent favorable changes in earnings estimates for Skyward indicate a positive Earnings ESP (Expected Surprise Prediction), which is a strong indicator of a potential earnings beat [6]. - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have historically produced a positive surprise nearly 70% of the time, suggesting a high likelihood of beating consensus estimates [7]. - Skyward currently has an Earnings ESP of +8.15%, indicating that analysts are optimistic about the company's earnings prospects, combined with a Zacks Rank of 2 (Buy) [9].