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Rounding out this week’s earnings lineup several top-rated Zacks stocks will be releasing their quarterly results on Friday, July 21.
These particular stocks belong to strong business industries and here is a look at why they are worthy of investors' consideration at the moment.
World Acceptance (WRLD)
Starting out of the Zacks Finance sector is World Acceptance which stock currently covets a Zacks Rank #1 (Strong Buy). Plus, World Acceptance’s Zacks Financial-Consumer Loans Industry is in the top 10% of over 250 Zacks industries.
World Acceptance is engaged in the small-loan consumer finance business and there is much optimism about the company’s fiscal first-quarter earnings tomorrow. Anticipation is high after World Acceptance most recently blasted its Q4 earnings expectations by 32% in May with EPS at $1.97 compared to estimates of $1.49 a share.
This sent shares of WRLD soaring which have now skyrocketed +109% this year to largely outperform the broader indexes and the Finance-Consumer Loans Markets’ +29%.
Image Source: Zacks Investment Research
Although first-quarter earnings are expected to be down -2% from a year ago at $1.13 per share, there would be little surprise if World Acceptance was able to surpass estimates again. World Acceptance should continue to thrive from its vibrant business environment as a provider of short-term loans, medium-term larger loans, credit insurance, and ancillary products.
Furthermore, annual earnings are now forecasted to skyrocket 213% at $11.26 per share compared to EPS of $3.60 in 2022. World Acceptance stock is definitely one to watch with shares still trading reasonably at $136 and 12.4X forward earnings.
Despite this year’s very impressive rally World Acceptance stock still trades attractively beneath the S&P 500’s 21.4X and closer to its industry average of 7.9X. Even better, shares of WRLD still trade well below their decade-long high of 30.2X and roughly on par with the median of 11.8X.
Image Source: Zacks Investment Research
AutoNation (AN)
Sporting a Zacks Rank #2 (Buy), AutoNation is another stock investors may want to consider at the moment with its Automotive-Retail and Whole Sales Industry in Zacks top 16%.
In correlation with its favorable industry outlook, AutoNation is naturally expected to reap the rewards as the largest automotive retailer in the United States. Already coming off of a record year that saw earnings at $24.57 per share, AutoNation’s bottom line is expected to dip-10% in fiscal 2023 but remains robust.
Plus, earnings estimate revisions have continued to rise leading up to AutoNation's second-quarter report. Over the last quarter, earnings estimates have now risen 5% for Q2 with annual EPS estimates rising 5% for FY23 and up 3% for FY24.