Shares of medical diagnostics company Agilent (A) fell in today’s trading as investors await its Q3 earnings results on August 21 after the market closes. Analysts are expecting earnings per share to come in at $1.26 on revenue of $1.557 billion. This represents a decline from the $1.43 per share seen in the year-ago period, according to TipRanks’ data.
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However, it seems likely that the firm will beat earnings estimates, as it has done so every quarter since its 2020 Q4. As a result, it is still possible that Agilent will be able to exceed last year’s figure.
What Do Options Traders Anticipate?
Using TipRanks’ Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don’t worry, the Options tool does this for you. Indeed, it currently says that options traders are expecting a 7.41% move in either direction.
Is Agilent Stock a Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on Agilent stock based on seven Buys, five Holds, and two Sells assigned in the past three months, as indicated by the graphic below. After a 19% rally in its share price over the past year, the average Agilent price target of $140.60 per share implies that shares are fairly valued.
Interestingly, it seems like money managers agree with the buy rating. Indeed, hedge funds increased their holdings in Agilent stock by 67,300 shares in the past quarter. As a result, they have a positive confidence signal.
