We're not too far into earnings season and already we have seen a few notably strong results. But unfortunately for every great result this season there seems to have been one or two not so great results.
In the next few weeks the results are going to come in thick and fast. Three results that I'm eagerly awaiting are as follows:
Appen Ltd (ASX: APX)
Appen is a leading provider of high-quality language data and services to major technology companies, automakers, and government agencies. This morning it announced that it will report its full-year results on February 28 2017. Management has previously guided to earnings growth in excess of 20%. With its shares priced at 25x trailing earnings, it certainly will need to grow at this strong rate to justify the premium. I'm confident it will do and maintain my view that this is a great buy and hold investment option.
iSentia Group Ltd (ASX: ISD)
A day earlier on February 27 2017 this media monitoring company will report its eagerly anticipated half-year results. A trading update in November made it clear that these results will be underwhelming following the underperformance of its content marketing business, but I'm hopeful that the company will advise that business conditions have improved so far in the second half. As its shares are currently priced at just 17x estimated FY 2017's earnings and expected to provide a fully franked 3.2% dividend, I believe investors will be scrambling to get hold of them if the company provides a positive update.
Mantra Group Ltd (ASX: MTR)
On February 17 2017 this leading accommodation provider will report its half-year results. At the current share price I believe Mantra is a great option for investors wanting to gain exposure to the tourism boom that Australia is experiencing. Whilst its CBD portfolio has been disappointing, I've been pleased with the rest of the business. I expect it to only get stronger through the next few years as the tourism boom gathers pace. I feel this will allow Mantra to command higher room rates for its 20,000+ rooms under management, leading to greater profitability. But as my colleague stated earlier, it might be best to wait until Mantra announces its earnings before making an investment.
