Despite some job market uncertainty weighing on the stock market, chances are good as investors prepare for earnings season. Companies will begin reporting their first-quarter financial results next week, starting with Delta Air Lines, United Health, and a number of large banks. First-quarter estimates for the S&P 500 are $50.71, down 5% from the same period last year, according to Refinitiv. CNBC Pro used FactSet data to search for names that are cheaper than the S&P 500, which Wall Street loves and which is expected to boost earnings this week. Each stock in the table below meets the following criteria: Forward price-to-earnings multiple of less than 18 (lower than S&P 500) Projected earnings growth of at least 25% this year Buy ratings from at least 60% of analysts Here are the stocks: Delta, which will release a report next Thursday, has the highest percentage Buy ratings from analysts at 85.7% and upside potential of more than 50% based on each analyst’s average price target. It’s also the cheapest stock on the list at a forward price earnings multiple of 6 and is expected to grow 65% earnings this year. Alaska Air joins it with expected earnings growth of 31.5% and Buy ratings from 86% of analysts. It is the second cheapest stock in the table with a forward price-to-earnings multiple of 7. The energy sector has the largest representation on the list, which includes Baker Hughes, Targa Resources, Halliburton and Schlumberger. Baker Hughes has a forward price earnings multiple of 17.8. It has the second largest estimated earnings growth at 72.5%. These stocks are also among the biggest gainers when oil prices soar, as they have recently, according to another screen from CNBC Pro. Among the energy group, Halliburton has the largest upside potential at around 49%. Ahead in earnings growth comes Vici Properties, the real estate investment trust. Its earnings are expected to grow 93.5% in 2023, with a forward rate earnings multiple of 13.1. About 83% of analysts have Buy ratings on Vici, and JPMorgan added it to its April focus list. In technology, Microchip Technology’s earnings growth is expected at 30% and its share price potential appreciation is expected at 19%. The other technical name, Match Group for dating app operator Baker Hughes, is associated with a forward price earnings multiple of 17.9. It has the largest upside potential at 68%.
“Extreme travel lover. Bacon fanatic. Troublemaker. Introvert. Passionate music fanatic.”
More Stories
Best National Burger Day Deals 2024
Trump attacks Fed for ‘playing politics’ with historic rate cut
Tesla “Magnificent Seven” (TSLA) shares report third-quarter earnings this week. Is it a buy before the results?