Palo Alto Networks is among the group of stocks that could exceed Wall Street’s estimates and outperform next week. After a month of intense earnings reports, next week offers investors some relief. Just a handful of companies in the S & P 500 will report their earnings, and Disney is the week’s big headliner. If stocks post earnings or revenue numbers that exceed analysts’ expectations, they can often rally afterward. CNBC Pro screened data from Bespoke Investor Group to find stocks that have, in the past, demonstrated a pattern of topping Street forecasts and then rising in the day that follows. Specifically, the companies in the table below have beaten earnings per share estimates at least 65% of the time, and have then averaged a gain of at least 1% the day after posting their results. Cybersecurity company Palo Alto Networks reports earnings next Thursday. It has historically topped analysts’ earnings estimates 94% of the time, and on average has risen 1.2% following the earnings report. Last month, Bank of America maintained its buy rating on Palo Alto following a call with a company executive. “At a high level, Palo Alto’s diversification strategy is working well, with our bottom-up model calling for 14%+ growth over the next three years, slightly higher than Street’s 13%,” wrote analyst Tal Liani. “Management is actively investing in growth, translating its investments into superior growth versus the industry.” Shares of Palo Alto Networks have risen about 15% this year. Bank of America’s $240 price objective implies potential upside of about 15%. Woodward is another company reporting next week that boasts a history of beating earnings expectations. The systems control manufacturer has topped bottom-line estimates 65% of the time, with its stock averaging a 1.1% gain on the day after its results are released. Last month, Wolfe Research upgraded Woodward to an outperform rating with a price target of $300. “Why now? Post our facility visit & mgmt meetings, we feel more comfortable with the sales and earnings acceleration coming in FY26. Furthermore, shares have stagnated in recent months providing a good entry point,” the investment firm wrote. Shares have soared 57% this year, but are only 4% higher in the past three months. Wolfe’s new price target would correspond to a rally of almost 15%.
