Primo Brands Corporation PRMB is slated to report second-quarter 2026 results on Aug. 5, before market open. The company is likely to report a top-line increase when it posts the quarterly results.
For revenues, the consensus mark is pegged at $1.8 billion, implying a rise of 1.8% in the year-ago quarter. The Zacks Consensus Estimate for the company’s earnings is pegged at 34 cents per share, which reflects a decline of 5.6% from the year-ago quarter’s figure. The consensus mark has dipped a penny in the past 30 days.
In the last reported quarter, the company delivered a negative earnings surprise of 4.2%. Its earnings beat the Zacks Consensus Estimate by 1.4%, on average, in the trailing four quarters.
Key Factors to Influence PRMB’s Q2 Results
Primo Brands’ quarterly performance is likely to have benefited from strong consumer demand and positive consumer trends like healthy lifestyle choices resonating with the wellness of its products. The company specializes in healthy hydration, offering responsibly sourced beverages across diverse formats, channels and price points to meet a wide range of consumer needs. The company is also emphasizing brand building, innovation and premiumization to drive growth.
Primo Brands is focused on strengthening its direct delivery business by improving service levels, customer retention and the overall customer experience. The company is investing in a warehouse management system, better supply-chain execution, digital and mobile capabilities, and a more efficient customer contact center. It is also working to expand its retail business by increasing points of distribution, improving in-store displays and shelf presence, and expanding exchange and refill locations.
The company is developing a more strategic revenue growth management approach across pricing, package sizes and channels. It intends to balance consumer value, competitive positioning and margin objectives while using pricing and productivity initiatives to offset commodity inflation. In addition, the company is expanding its e-commerce presence, including through Amazon Grocery, to reach more consumers and increase household penetration. Such factors are likely to have aided the company’s top-line performance during the quarter under review.
On the flip side, the company remains exposed to cost inflation tied to oil-related inputs such as plastic resins, PET, diesel and propane. Recent volatility in oil prices has increased cost uncertainty. The company is also dealing with elevated freight, transportation and logistics costs. Primo Brands is also carrying a higher-than-normal route count to improve service levels, which has increased operating costs and weighed on margins. Such factors are likely to have hurt the company’s profitability during the quarter under review.
Primo Brands Corporation Price and EPS Surprise
Primo Brands Corporation price-eps-surprise | Primo Brands Corporation Quote
What the Zacks Model Unveils for PRMB
Our proven model predicts an earnings beat for Primo Brands this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Primo Brands currently has an Earnings ESP of +16.51% and a Zacks Rank of 2.
Valuation Picture
Primo Brands has a forward 12-month price-to-earnings ratio of 16.55X, lower than the Beverages - Soft drinks industry’s average of 19.98X. The stock is trading slightly above its median of 16.52X.
The recent market movements show that PRMB’s shares have surged 22.2% in the past six months compared with the industry's 9.7% growth.
Other Stocks With the Favorable Combination
Here are some other companies, which according to our model, also have the right combination of elements to beat on earnings this reporting cycle.
Archer Daniels Midland Company ADM currently has an Earnings ESP of +11.52% and a Zacks Rank of 2. The consensus estimate for ADM’s quarterly revenues is pinned at $22.4 billion, which calls for 5.7% growth from the figure reported in the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Archer Daniels’ upcoming quarter’s EPS is pegged at $1.27, which implies a 36.6% rise year over year. ADM delivered a trailing four-quarter earnings surprise of 5.4%, on average.
Coty COTY has an Earnings ESP of +0.03% and a Zacks Rank of 3 at present. The company is expected to register bottom and top-line declines when it reports fourth-quarter fiscal 2026 numbers. The Zacks Consensus Estimate for COTY’s quarterly bottom line has remained unchanged in the past 30 days at a loss of a cent per share. The consensus mark for earnings indicates an improvement of 80% from the figure reported in the year-ago quarter.
The consensus estimate for quarterly revenues is pegged at $1.2 billion, which indicates a drop of 4.8% from the figure reported in the year-ago quarter. COTY has delivered a negative earnings surprise of 214.1%, on average, in the trailing four quarters.
Monster Beverage Corporation MNST currently has an Earnings ESP of +2.61% and a Zacks Rank of 3. The company is likely to register bottom and top-line growth when it reports second-quarter 2026 numbers.
The Zacks Consensus Estimate for Monster Beverage’s quarterly revenues is pegged at $2.4 billion, indicating an increase of 14.5% from the figure reported in the prior-year quarter. The consensus estimate for MNST’s quarterly earnings of 59 cents per share implies a rise of 13.5% from the year-ago quarter’s level. MNST has a trailing four-quarter earnings surprise of 9.6%, on average.
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Primo Brands Corporation (PRMB): Free Stock Analysis Report
Archer Daniels Midland Company (ADM): Free Stock Analysis Report
Monster Beverage Corporation (MNST): Free Stock Analysis Report
Coty (COTY): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).