Advertisement
Canada markets open in 8 hours 52 minutes

  • S&P/TSX

    22,259.47
    +312.06 (+1.42%)
     

  • S&P 500

    5,180.74
    +52.95 (+1.03%)
     

  • DOW

    38,852.27
    +176.59 (+0.46%)
     

  • CAD/USD

    0.7310
    -0.0011 (-0.15%)
     

  • CRUDE OIL

    78.73
    +0.25 (+0.32%)
     

  • Bitcoin CAD

    86,666.74
    -813.70 (-0.93%)
     

  • CMC Crypto 200

    1,360.66
    +48.04 (+3.66%)
     

  • GOLD FUTURES

    2,331.90
    +0.70 (+0.03%)
     

  • RUSSELL 2000

    2,060.67
    +24.95 (+1.23%)
     

  • 10-Yr Bond

    4.4890
    -0.0110 (-0.24%)
     

  • NASDAQ futures

    18,181.00
    -14.50 (-0.08%)
     

  • VOLATILITY

    13.49
    0.00 (0.00%)
     

  • FTSE

    8,213.49
    +41.34 (+0.51%)
     

  • NIKKEI 225

    38,748.71
    +512.64 (+1.34%)
     

  • CAD/EUR

    0.6788
    -0.0004 (-0.06%)
     

Will McGraw Hill Financial (MHFI) Q3 Earnings Disappoint?

Zacks Equity Research
Updated

McGraw Hill Financial, Inc. MHFI is slated to report third-quarter 2015 results on Nov 3. In the last quarter, it delivered a positive earnings surprise of 9%. Notably, the company has surpassed the Zacks Consensus Estimate in all of the last four quarters, with an average positive earnings surprise of 7.5%. Let’s see how things are shaping up for this announcement.

Zacks Model Shows Unlikely Earnings Beat

Our proven model does not conclusively show that McGraw Hill Financialis likely to beat estimates this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1, 2 or 3 for this to happen. McGraw Hill Financial has an Earnings ESP of -2.78% as the Most Accurate estimate of $1.05 is lower than the Zacks Consensus Estimate of $1.08. McGraw Hill Financial has a Zacks Rank #4 (Sell).

Factors Influencing This Quarter

McGraw-Hill’s results could be negatively impacted by lower volume of debt securities issued in the capital markets. Financial distress could either hamper investor’s demand for debt securities or make issuers reluctant to issue such securities. In addition, increase in interest rates or credit spreads may adversely affect the general level of debt issuance.

ADVERTISEMENT

Even though the company is making several strategic investments, increasing competition from other rating firms and intensifying foreign exchange fluctuations might jeopardize its growth prospects.

Stocks Poised to Beat Earnings Estimates

Here are some companies you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:

Facebook, Inc. FB has an Earnings ESP of +5.71% and a Zacks Rank #1 (Strong Buy).

Nexstar Broadcasting Group, Inc. NXST has an Earnings ESP of +14.29% and a Zacks Rank #2 (Buy).

Time Warner Inc. TWX has an Earnings ESP of +0.92% and a Zacks Rank #3 (Hold).

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
TIME WARNER INC (TWX): Free Stock Analysis Report
 
FACEBOOK INC-A (FB): Free Stock Analysis Report
 
MCGRAW HILL FIN (MHFI): Free Stock Analysis Report
 
NEXSTAR BRDCSTG (NXST): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research