Why They Should Be on Your Radar

Wall Street watches a company’s quarterly report closely to understand as much as possible about its recent performance and what to expect going forward. Of course, one figure often stands out among the rest: earnings.

We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises.

The Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company’s report. The idea is relatively intuitive as a newer projection might be based on more complete information. The ESP is calculated by comparing the Most Accurate Estimate to the Zacks Consensus Estimate, with the percentage difference between the two giving us the Zacks ESP figure.

The last thing we will do today, now that we have a grasp on the ESP and how powerful of a tool it can be, is to look at a qualifying stock. Fair Isaac (FICO) holds a Zacks Rank #1 at the moment and its Most Accurate Estimate comes in at $7.38 a share 12 days away from its upcoming earnings release on November 5, 2025.

FICO has an Earnings ESP figure of +0.46%, which, as explained above, is calculated by taking the percentage difference between the $7.38 Most Accurate Estimate and the Zacks Consensus Estimate of $7.34.

FICO is part of a big group of Computer and Technology stocks that boast a positive ESP, and investors may want to take a look at Synchronoss (SNCR) as well.

Synchronoss, which is readying to report earnings on November 4, 2025, sits at a Zacks Rank #3 (Hold) right now. Its Most Accurate Estimate is currently $0.38 a share, and SNCR is 11 days out from its next earnings report.

The Zacks Consensus Estimate for Synchronoss is $0.35, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +10.15%.

FICO and SNCR’s positive ESP figures tell us that both stocks have a good chance at beating analyst expectations in their next earnings report.

Use the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they’re reported for profitable earnings season trading. Check it out here >>

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