Analysts See 10 Companies Beating Expectations This Earnings Season

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With earnings starting to really snowball next week, and a market that seems to be teetering somewhat due to high valuations and some messy geopolitical issues, it makes sense for investors to look for companies that are candidates to beat the current expectations. The only thing better than beating expectations is beating them and adding some positive forward guidance for the second quarter and/or the full year.

We screened some recent reports from our Wall Street research database and some recent 24/7 Wall St. posts for companies that top analysts on Wall Street think are the candidates to beat expectations. These stocks make good sense for growth portfolios that have some risk tolerance.

Here are 10 companies that may beat earnings expectations

Alphabet

The search giant continues to expand and is even working on a driverless car now. Alphabet Inc. (NASDAQ: GOOGL) is a global technology company focused around key areas, such as search, advertising, operating systems and platforms, enterprise and hardware products. It generates revenue primarily by delivering online advertising and by selling apps and contents on Google Play, as well as hardware products. The company provides its products and services in more than 100 languages and in 190 countries, regions and territories.

Alphabet offers performance and brand advertising services. It operates through Google and Other Bets segments. The Google segment includes principal internet products, such as Search, Ads, Commerce, Maps, YouTube, Apps, Cloud, Android, Chrome and Google Play, as well as technical infrastructure and newer efforts, such as virtual reality.

Merrill Lynch is above Wall Street estimates on this technology giant. The Merrill Lynch price target for the stock is $1,025, and the Wall Street consensus price objective is $965.81 The shares traded Thursday at $842.70.

CME

This company had a record 2016, and 2017 looks very promising as well. CME Group Inc. (NASDAQ: CME) exchanges offer the widest range of global benchmark products across all major asset classes, including futures and options. CME Group brings buyers and sellers together through its Globex electronic trading platform and its trading facilities in New York and Chicago.

The company also operates CME clearing, one of the world’s leading central counterparty clearing providers, which offers clearing and settlement services across asset classes for exchange traded contracts and over-the-counter derivatives transactions.

The company’s non-U.S. business is growing, and with West Texas Intermediate oil increasing relevance as a global benchmark, that is another positive for the trading giant. There is a solid chance they could come in above estimates.

CME investors receive a 2.12% dividend. Deutsche Bank has a $136 price target, and the consensus target is$129.33. Shares traded on Thursday at $116.70.

Expedia

This online travel leader is poised for a potential big first quarter. Expedia Inc. (NASDAQ: EXPE) is the leading internet travel pure-play with exposure to online travel in the United States, Europe and Asia. The company’s portfolio of brands includes Expedia, Orbitz, HomeAway, Travelocity, Hotels.com, Trivago, Egencia, Hotwire, Wotif, Venere and Classic Vacations.

Top analysts see it as a story of improving execution, and they also think that the company is starting to finally match Priceline’s growth metrics. The company has raised its dividend and is buying back stock, both shareholder friendly actions. Merrill Lynch is above Wall Street estimates on this company as well.

Investors receive a 0.9% dividend. Merrill Lynch has a $146 target price for the stock. The consensus target is $142.72, and shares traded Thursday at $129.10.