Why Woodward (WWD) is Poised to Beat Earnings Estimates Again

Core Insights - Woodward (WWD) is positioned to continue its earnings-beat streak, having surpassed earnings estimates by an average of 13.00% in the last two quarters [1][2] Earnings Performance - For the most recent quarter, Woodward reported earnings of $1.76 per share, exceeding the expected $1.62 per share by 8.64% [2] - In the previous quarter, the company reported $1.69 per share against an expectation of $1.44 per share, resulting in a surprise of 17.36% [2] Earnings Estimates and Predictions - There has been a favorable change in earnings estimates for Woodward, with a positive Zacks Earnings ESP (Expected Surprise Prediction) indicating a strong likelihood of an earnings beat [5][8] - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6] Earnings ESP Metric - Woodward currently has an Earnings ESP of +0.16%, suggesting analysts are optimistic about the company's earnings prospects [8] - A negative Earnings ESP reduces predictive power but does not necessarily indicate an earnings miss [8] Importance of Earnings ESP - Companies often beat consensus EPS estimates, but this is not the sole reason for share price gains; stability can occur even with missed estimates [9] - Utilizing the Earnings ESP Filter can help identify the best stocks to buy or sell prior to earnings reports [9]