NIQ Global Intelligence and AMC top quant picks before Q3 results

what happened

Seeking Alpha reports that investors are reviewing fresh quantitative ratings for communications services shares as the earnings season nears. The communications services group within the S&P 500 is down 5% so far this year, while the broader S&P 500 has gained 14%. FactSet expects each of the eleven sectors to deliver year-over-year revenue and earnings growth, with Information Technology, Energy and Communication Services leading the advance. Communication Services is forecast to post the third-highest earnings growth rate among the eleven sectors, at 51.5% year over year.

Seeking Alpha’s Quant Rating System gives communications services stocks an average health score of 3.45. The figure covers 228 companies with market capitalizations above $2 billion and combines measures including valuation, earnings growth and recent share-price performance; 5 is the maximum score. The highest-rated names are NIQ Global Intelligence at 4.86, AMC Entertainment at 4.80, Stagwell at 4.79, Cinemark at 4.78 and Skydance at 4.54, all classified as Strong Buy. At the bottom are The Trade Desk at 1.33 and StubHub at 1.40, both rated Strong Sell, followed by AST SpaceMobile at 2.58, AppLovin at 2.63 and Roblox at 2.70, each rated Hold.

Seeking Alpha says its content is provided for informational purposes only. The publisher does not offer personalized investment advice and is not a licensed securities dealer, broker, U.S. investment adviser or investment bank.

why it matters

The contrast between the sector’s negative year-to-date performance and projected earnings growth highlights the differing quantitative profiles of individual companies ahead of quarterly results.

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