Zacks Earnings Preview: Casey's General Stores and Pall Corporation

Business Wire, June 9, 2008

CHICAGO -- Zacks.com releases the list of companies likely to issue earnings surprises. This week's list includes Casey's General Stores (Nasdaq: CASY) and Pall Corporation (NYSE: PLL). To see more earnings analysis, visit http://at.zacks.com/?id=3207.

Earnings Preview is written by Charles Rotblut, CFA, Senior Market Analyst for Zacks.com.

There are just 35 companies confirmed to report during the second week of June. Pall Corporation (NYSE: PLL), which will announce its results on Monday afternoon, is the only member of the S&P 500 on the schedule.

The economic calendar is light as well. Following the recent surge in crude prices, the weekly inventories report could get the most attention.

Here is a list of the week's economic releases:

* Monday: April pending home sales

* Tuesday: April trade deficit

* Wednesday: Weekly crude inventories, Federal Reserve Beige Book

* Thursday: May import prices, May retail sales, April business inventories, weekly jobless claims

* Friday: May CPI, preliminary June University of Michigan consumer confidence survey

Federal Reserve Chairman Ben Bernanke will be speaking twice. On Monday, he will discuss inflation at a Boston Fed conference. (Vice Chairman Donald Kohn will speak at the same conference, with his remarks centered on the Phillips Curve.) On Thursday, Bernanke will speak at a dedication ceremony at Kansas City Fed.

Governor Randall Kroszner will talk about the consumer credit markets on Thursday at the Cleveland Fed.

The markets have been holding up well, especially considering some of the recent negative news flow. Despite the recent swings, the Dow and the S&P 500 remain in trading ranges.

Given an overall lack of catalysts, it is difficult to see the markets moving significantly either to the upside or the downside. However, as I have said before, oil is a wildcard.

Companies That Could Issue Positive Earnings Surprises during the Week of June 9 - 13

Pall Corporation (NYSE: PLL) recently preannounced fiscal third-quarter revenues of $661.7 million, an 18.3% increase from a year prior. Only one of the five covering brokerage analysts raised forecasts, however, in response to the news. As a result, consensus earnings estimate has held steady at 50 cents per share. The most accurate consensus is slightly more bullish at 51 cents per share.

Traders should be aware that last quarter's results were two cents below expectations, and PLL has not issued a positive earnings surprise in a year. As noted above, Pall Corporation is scheduled to report on Monday, June 9, after the close of trading.

Companies That Could Issue Negative Earnings Surprises during the Week of June 9 - 13

Casey's General Stores (Nasdaq: CASY) missed fiscal third-quarter expectations by four cents. Ahead of the company's fiscal fourth-quarter report, one of the four covering brokerage analysts lowered his projections. The revision caused the consensus earnings estimate to decline by a penny to 25 cents per share. The most accurate consensus is more bearish at 19 cents per share. Casey's General Stores is scheduled to report on Wednesday, June 11, after the close of trading.

Charles Rotblut, CFA, is the senior market analyst for Zacks.com.

Want to turn earnings surprises into quick profits? Learn how by visiting http://at.zacks.com/?id=3206.

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