![]() ![]() This insight is at the core of our proprietary surprise prediction model - the Zacks Earnings ESP (Expected Surprise Prediction).The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.Price, Consensus and EPS SurpriseEarnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. On the other hand, if they miss, the stock may move lower.While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.Zacks Consensus EstimateThis maker of graphics chips for gaming and artificial intelligence is expected to post quarterly earnings of $1.30 per share in its upcoming report, which represents a year-over-year change of +41.3%.Revenues are expected to be $8.12 billion, up 43.4% from the year-ago quarter.Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.86% higher over the last 30 days to the current level. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on May 25, 2022, might help the stock move higher if these key numbers are better than expectations. The market expects Nvidia (NVDA) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended April 2022.
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