Will National Financial (FNF) Crush Estimates at Its Next Earnings Report?

Looking for a stock that might be in a good position to beat earnings at its next report? Consider Fidelity National Financial, Inc. FNF, a firm in the Insurance - Property and Casualty industry, which could be a great candidate for another beat.

This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. In fact, in these reports, FNF has beaten estimates by at least 10% in both cases, suggesting it has a nice short-term history of crushing expectations.

Earnings in Focus

Two quarters ago, FNF expected to post earnings of 62 cents per share, while it actually produced earnings of 71 cents per share, a beat of 14.5%. Meanwhile, for the most recent quarter, the company looked to deliver earnings of 37 cents per share, when it actually saw earnings of 42 cents per share instead, representing a 13.5% positive surprise.

Fidelity National Financial, Inc. Price and EPS Surprise

Fidelity National Financial, Inc. Price and EPS Surprise | Fidelity National Financial, Inc. Quote

Thanks in part to this history, recent estimates have been moving higher for National Financial. In fact, the Earnings ESP for FNF is positive, which is a great sign of a coming beat.

After all, the Zacks Earnings ESP compares the most accurate estimate to the broad consensus, looking to find stocks that have seen big revisions as of late, suggesting that analysts have recently become more bullish on the company’s earnings prospects. This is the case for FNF, as the firm currently has a Zacks Earnings ESP of +2.78%, so another beat could be around the corner.

This is particularly true when you consider that FNF has a great Zacks Rank #2 (Buy) which can be a harbinger of outperformance and a signal for a strong earnings profile. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

When you add this solid Zacks Rank to a positive Earnings ESP, a positive earnings surprise happens nearly 70% of the time, so it seems pretty likely that FNF could see another beat at its next report, especially if recent trends are any guide.

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