Zacks Earnings Preview: Apollo Group, CKE Restaurants, Lennar, Oracle and Walgreen

Business Wire, March 24, 2008

CHICAGO -- Zacks.com releases the list of companies likely to issue earnings surprises. This week's list includes CKE Restaurants (NYSE: CKR) and Oracle (Nasdaq: ORCL) . 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.

Oracle (NYSE: ORCL) headlines an otherwise limited earnings schedule. The software maker is projected to report fiscal third-quarter profits of 29 cents per share on Wednesday.

Joining ORCL will be 90 other companies, including fellow S&P 500 members: Apollo Group (Nasdaq: APOL), Lennar (NYSE: LEN) and Walgreen (NYSE: WAG).

The economic calendar has a few notable releases that could influence trading.

* Monday: February existing home sales

* Tuesday: March Conference Board consumer confidence

* Wednesday: February durable goods, February new home sales

* Thursday: Final fourth-quarter GDP

* Friday: February personal income and spending, revised University of Michigan March consumer confidence survey

The major indexes seem likely to stay in their current wide trading range, barring an unexpected event. First-quarter earnings season will not hit full stride for a few more weeks and no new actions are expected from the Fed for at least a few weeks.

Companies That Could Issue Positive Earnings Surprises during the Week of Mar 24 - 28

As stated above, Oracle (Nasdaq: ORCL) is projected to report fiscal third-quarter profits of 29 cents per share. The tech company does have a history of surprising, having topped expectations during three out of the past four quarters. The most accurate consensus of 30 cents per share further suggests the possibility of a positive earnings surprise. Oracle is scheduled to report on Wednesday, Mar 26, after the close of trading.

Companies That Could Issue Negative Earnings Surprises during the Week of Mar 24 - 28

Last month, CKE Restaurants (NYSE: CKR) reported modest fourth-quarter same-stores sales growth. The owner of the Hardee's and Carl's Jr. chains, however, also stated that higher food costs adversely affected margins. As result, brokerage analysts cut their fourth-quarter projections. The consensus estimate of five cents per share is seven cents below the average forecast of two months ago. CKR has missed expectations four times during the past five quarters. CKE Restaurant is scheduled to report on Friday, Mar 28, before the start 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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