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Do you like to follow earnings season? Although this earnings season is well underway, there are still many names that haven't yet reported their results.

To create the stock list below we started by looking for stocks with a history of surprising the market with positive earnings reports, with an average earnings surprise of at least 5% over the last five quarterly reports.

We continued our analysis by looking at the financial statements of all companies to pick those companies with encouraging sales trends.

We focused on those stocks with strong sales trends, comparing growth in revenue to growth in accounts receivable. Since accounts receivable is the portion of revenue not yet received, and there is no guarantee the money will ever be received, the smaller the portion of revenue made up of receivables the healthier the company's revenue.

The stocks in our list are seeing faster growth in revenue than accounts receivable year-over-year, as well as accounts receivable comprising a smaller portion of current assets over the same time period.

Finally, we screened for those with bullish sentiment from institutional investors, with significant net institutional purchases over the last quarter representing at least 5% of share float. This indicates that institutional investors such as hedge fund managers and mutual fund managers expect these names to outperform into the future.

For an interactive version of this chart, click on the image below. Analyst ratings sourced from Zacks Investment Research.

Do you think these stocks will outperform like hedge funds expect? Use this list as a starting point for your own analysis.

1. Chico's FAS Inc. (CHS): Operates as a specialty retailer of casual-to-dressy clothing, intimates, complementary accessories, and other non-clothing gift items. Market cap at $2.91B, most recent closing price at $17.49.

Net institutional purchases in the current quarter at 8.8M shares, which represents about 5.51% of the company's float of 159.83M shares. The top 2 holders of the stock are The Vanguard Group, and Frontier Capital Management.

Revenue grew by 18.22% during the most recent quarter ($636.66M vs. $538.55M y/y). Inventory grew by -5.39% during the same time period ($234.2M vs. $247.53M y/y). Inventory, as a percentage of current assets, decreased from 45.54% to 35.32% during the most recent quarter (comparing 13 weeks ending 2012-10-27 to 13 weeks ending 2011-10-29).

In January 2012: Reported EPS at 0.15 vs. estimate at 0.11 (surprise of 36.4%). In April 2012: Reported EPS at 0.32 vs. estimate at 0.3 (surprise of 6.7%). In July 2012: Reported EPS at 0.32 vs. estimate at 0.3 (surprise of 6.7%). In October 2012: Reported 0.25 vs. estimate at 0.22 (surprise of 13.6%. [Average earnings surprise at 15.85%].

2. Conns Inc. (CONN): Operates as a specialty retailer of home appliances, consumer electronics, home office equipment, lawn and garden products, mattresses, and furniture in the United States. Market cap at $955.08M, most recent closing price at $28.0.

Net institutional purchases in the current quarter at 3.2M shares, which represents about 12.12% of the company's float of 26.40M shares. The top 2 holders of the stock are FMR, LLC, and Dimensional Fund Advisors.

Revenue grew by 10.6% during the most recent quarter ($206.4M vs. $186.62M y/y). Inventory grew by -20.22% during the same time period ($77.15M vs. $96.7M y/y). Inventory, as a percentage of current assets, decreased from 20.52% to 15.69% during the most recent quarter (comparing 3 months ending 2012-10-31 to 3 months ending 2011-10-31).

In January 2012: Reported EPS at 0.34 vs. estimate at 0.29 (surprise of 17.2%). In April 2012: Reported EPS at 0.35 vs. estimate at 0.33 (surprise of 6.1%). In July 2012: Reported EPS at 0.36 vs. estimate at 0.35 (surprise of 2.9%). In October 2012: Reported 0.38 vs. estimate at 0.28 (surprise of 35.7%. [Average earnings surprise at 15.48%].

3. Cynosure, Inc. (CYNO): Develops, manufactures, and markets aesthetic treatment systems to the dermatology, plastic surgery, and general medical markets. Market cap at $428.19M, most recent closing price at $26.93.

Net institutional purchases in the current quarter at 889.8K shares, which represents about 7.7% of the company's float of 11.56M shares. The top 2 holders of the stock are Dimensional Fund Advisors, and Arbor Capital Management.

Revenue grew by 31.12% during the most recent quarter ($37.08M vs. $28.28M y/y). Inventory grew by 15.6% during the same time period ($34.3M vs. $29.67M y/y). Inventory, as a percentage of current assets, decreased from 26.45% to 25.67% during the most recent quarter (comparing 3 months ending 2012-09-30 to 3 months ending 2011-09-30).

In December 2011: Reported EPS at 0.08 vs. estimate at 0.03 (surprise of 166.7%). In March 2012: Reported EPS at 0.06 vs. estimate at -0.01 (surprise of 700%). In June 2012: Reported EPS at 0.2 vs. estimate at 0.1 (surprise of 100%). In September 2012: Reported 0.25 vs. estimate at 0.12 (surprise of 108.3%. [Average earnings surprise at 268.75%].

4. Dorman Products, Inc. (DORM): Supplies original equipment dealer automotive replacement parts, and fasteners and service line products primarily for the automotive aftermarket. Market cap at $1.33B, most recent closing price at $36.47.

Net institutional purchases in the current quarter at 877.6K shares, which represents about 5.32% of the company's float of 16.51M shares. The top 2 holders of the stock are Royce & Associates, and T. Rowe Price.

Revenue grew by 19.78% during the most recent quarter ($156.41M vs. $130.58M y/y). Inventory grew by 4.11% during the same time period ($134.3M vs. $129M y/y). Inventory, as a percentage of current assets, decreased from 44.11% to 36.97% during the most recent quarter (comparing 13 weeks ending 2012-09-29 to 13 weeks ending 2011-09-24).

In December 2011: Reported EPS at 0.44 vs. estimate at 0.38 (surprise of 15.8%). In March 2012: Reported EPS at 0.41 vs. estimate at 0.4 (surprise of 2.5%). In June 2012: Reported EPS at 0.44 vs. estimate at 0.43 (surprise of 2.3%). In September 2012: Reported 0.54 vs. estimate at 0.48 (surprise of 12.5%. [Average earnings surprise at 8.27%].

5. Fusion-io, Inc. (FIO): Focuses on the development, marketing, and sale of storage memory platforms for data decentralization. Market cap at $1.97B, most recent closing price at $20.54.

Net institutional purchases in the current quarter at 7.2M shares, which represents about 9.32% of the company's float of 77.29M shares. The top 2 holders of the stock are FMR, LLC, and NEA Management.

Revenue grew by 58.77% during the most recent quarter ($118.11M vs. $74.39M y/y). Inventory grew by -6.07% during the same time period ($67.2M vs. $71.54M y/y). Inventory, as a percentage of current assets, decreased from 23.04% to 13.57% during the most recent quarter (comparing 3 months ending 2012-09-30 to 3 months ending 2011-09-30).

In December 2011: Reported EPS at 0.05 vs. estimate at 0.03 (surprise of 66.7%). In March 2012: Reported EPS at 0.06 vs. estimate at 0.02 (surprise of 200%). In June 2012: Reported EPS at 0.09 vs. estimate at 0.04 (surprise of 125%). In September 2012: Reported 0.14 vs. estimate at 0.07 (surprise of 100%. [Average earnings surprise at 122.92%].

6. Garmin Ltd. (GRMN): Operates as a holding company and through its subsidiaries, designs, develops, manufactures, and markets global positioning system (GPS) enabled products and other navigation, communication, and information products worldwide. Market cap at $7.52B, most recent closing price at $38.57.

Net institutional purchases in the current quarter at 6.3M shares, which represents about 5.47% of the company's float of 115.27M shares. The top 2 holders of the stock are Capital Research Global Advisors, and The Vanguard Group.

Revenue grew by 0.81% during the most recent quarter ($672.38M vs. $666.99M y/y). Inventory grew by -3.88% during the same time period ($443.42M vs. $461.3M y/y). Inventory, as a percentage of current assets, decreased from 18.06% to 17.93% during the most recent quarter (comparing 13 weeks ending 2012-09-29 to 13 weeks ending 2011-09-24).

In December 2011: Reported EPS at 0.96 vs. estimate at 0.66 (surprise of 45.5%). In March 2012: Reported EPS at 0.45 vs. estimate at 0.41 (surprise of 9.8%). In June 2012: Reported EPS at 0.98 vs. estimate at 0.67 (surprise of 46.3%). In September 2012: Reported 0.74 vs. estimate at 0.61 (surprise of 21.3%. [Average earnings surprise at 30.72%].

*EPS data sourced from Yahoo! Finance, all other data sourced from Finviz.

Source: Hedge Funds Are Buying These 6 Stocks With A History Of Earnings Surprises