SKWD

The article explains how to use the Zacks Earnings ESP (Expected Surprise Prediction) filter to identify stocks likely to beat earnings expectations. The system compares the most recent analyst estimates against consensus estimates, and when combined with a Zacks Rank #3 or better, stocks posted positive earnings surprises 70% of the time with average annual returns of 28%. Two example stocks highlighted are Skyward Specialty Insurance (SKWD) with a +7.55% ESP and Hut 8 (HUT) with a +11.13% ESP, both expected to report earnings in early November 2026.

Skyward Specialty Insurance (SKWD) is highlighted as a strong candidate for beating upcoming earnings estimates. The company has a track record of beating consensus estimates with an average surprise of 16.05% over the past two quarters. With a positive Earnings ESP of +7.55% and a Zacks Rank #2 (Buy) rating, analysts suggest the stock has a high probability of delivering another earnings beat when it reports on November 5, 2026.

Skyward Specialty Insurance (SKWD) has been upgraded to a Zacks Rank #2 (Buy) rating, reflecting upward trends in earnings estimates over the past three months. The upgrade positions the stock in the top 20% of Zacks-covered stocks based on earnings estimate revisions, suggesting potential for near-term stock price appreciation.

Skyward Specialty Insurance (SKWD) is highlighted as a momentum stock worth watching, holding a #3 (Hold) Zacks Rank with an A Momentum Style Score and B VGM Score. The specialty insurance company has seen upward earnings estimate revisions, with consensus estimates increasing to $5.00 per share for fiscal 2026, and shares are up 2.6% over the past four weeks.

Skyward Specialty Insurance Group (SKWD) is expanding its autonomous vehicle (AV) insurance offerings through ibott, acquired as part of Apollo in January 2026. The move leverages ibott's specialized AV underwriting expertise combined with Skyward's distribution and market access. Q2 2026 results showed managed premiums up 17.5% to $1.1 billion and fee-generating GWP up 28.8%, positioning the company to capture emerging opportunities in the evolving AV insurance market.

Aon plc is set to report Q3 2026 results on Oct. 28 with expected EPS of $3.34 and revenues of $4.08B. While Commercial Risk, Health, and Reinsurance segments show growth potential, an earnings beat is uncertain due to negative Earnings ESP (-0.80%) and Zacks Rank #4 (Sell). High operating expenses exceeding $3.2B and a significant 16.1% revenue decline in Wealth Solutions due to weak U.S. advisory demand are headwinds.

Selective Insurance (SIGI) reported quarterly earnings of $2.37 per share, significantly beating the consensus estimate of $1.91 per share, representing a 24.08% earnings surprise. However, revenues of $1.35 billion slightly missed expectations by 0.6%.

The stock has underperformed the S&P 500 year-to-date, gaining 8.9% versus the market's 13.3%. With a Zacks Rank #3 (Hold) rating, the stock is expected to perform in line with the market. The Insurance - Property and Casualty industry ranks in the top 29% of Zacks industries.

The Hartford Insurance Group (HIG) is expected to report Q3 2026 earnings of $3.15 per share on October 26, representing a 16.7% year-over-year decline despite a 3.3% revenue increase to $5.3 billion. While the Personal Insurance combined ratio is expected to improve to 87.9%, the company faces headwinds from higher operating costs and declining auto and homeowners' policies. An earnings beat is predicted based on a positive Earnings ESP of +1.95% and Zacks Rank #3.