These companies reporting earnings in the week ahead almost always beat the Street

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A number of companies are set to report earnings next week, and according to Bespoke there are five names that consistently top analyst estimates.

"The company is likely to post upside to sales and gross margin, flowing through the beats to raise FY20 guidance and while valuation has become slightly more compelling, a beat and raise and material upside are still anticipated by investors," Wedbush analyst Christopher Svezia wrote in a note to clients on Wednesday.

His EPS estimate of $2.38 for the quarter is ahead of the consensus estimate of $2.33, according to numbers compiled by FactSet. Analysts are expecting $529 million in revenue.reports Wednesday after the close, and Bespoke found that the company exceeds estimates 91% of the time. Credit Suisse said the company continues to have a compelling valuation, and that it is "well positioned to benefit from recovery in memory CapEx." The firm has an outperform rating and $278 target on the stock, which is around 19% higher than where it traded on Friday.

The firm's EPS estimate of $3.00 is just slightly below the Street's consensus of $3.01, while the firm's revenue estimate of $2.16 billion is in-line with estimates.Of course, topping quarterly estimates isn't necessarily indicative of a company's health. Sometimes companies purposefully lower estimates — called sandbagging — so that they are virtually guaranteed to beat estimates.

 

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