Should You Buy Invesco Ahead of Earnings?

Core Viewpoint - Invesco Ltd. (IVZ) is positioned favorably for an upcoming earnings report, with analysts raising earnings estimates, indicating potential for an earnings beat [1][2][5]. Earnings Estimates - Recent earnings estimate revisions for Invesco suggest positive trends, with the Most Accurate Estimate for the current quarter at 41 cents per share, compared to the Zacks Consensus Estimate of 40 cents per share [3]. - This results in a Zacks Earnings ESP of +1.65%, indicating a favorable outlook heading into earnings season [3]. Importance of Earnings ESP - A positive Zacks Earnings ESP has historically led to positive surprises and market outperformance, with a 10-year backtest showing nearly 70% of stocks with a positive Earnings ESP and a Zacks Rank of 3 or better achieving positive surprises [4]. - Stocks with this profile have averaged over 28% in annual returns [4]. Investment Consideration - Given that Invesco holds a Zacks Rank of 1 (Strong Buy) and a positive ESP, it is recommended for investors to consider this stock ahead of its earnings report [5].