We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
CONSOL (CNX) Q4 Earnings: What's in Store for the Stock?
Read MoreHide Full Article
CONSOL Energy Inc. (CNX - Free Report) is expected to report fourth-quarter 2016 results before the market opens on Jan 31. Last quarter, this coal and natural gas company reported a negative earnings surprise of 36.36%. On an average, the company has delivered a negative earnings surprise of 39.42% over the four trailing quarters. Let’s find out what’s in store in this quarter.
Factors to Consider
Even though President Trump’s vow to revive the fossil fuel industry is expected to benefit coal miners, natural gas continues to pose tough completion on the back of its clean-burning nature and low prices.
During the quarter, CONSOL Energy decided to dissolve its joint venture with Noble Energy in the Marcellus Shale properties. Post the closure of the joint venture, CONSOL Energy will own a 100% working interest in approximately 306,000 Marcellus acres with associated production of approximately 620 million cubic feet per day of natural gas equivalents. The majority of the acreage operated by CONSOL Energy is in Pennsylvania.
CONSOL Energy’s E&P margins might improve a bit sequentially in the fourth quarter of 2016, courtesy of its hedging activities and cost-saving initiatives.
Earnings Whispers
Our proven model does not conclusively show that CONSOL Energy is likely to beat estimates this quarter as it does not have the right combination of the two key ingredients. Note that a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) to be able to beat estimates. However, that is not the case here, as elaborated below.
Zacks ESP: CONSOL Energy has an Earnings ESP of -50.00% since the Most Accurate estimate is pegged at a loss of 3 cents while the Zacks Consensus Estimate stands at a loss of 2 cents.
Zacks Rank: Although CONSOL Energy’s Zacks Rank #2 increases the predictive power of ESP, its negative ESP makes surprise prediction difficult.
Note that we caution against Sell-rated stocks (#4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Price Movement
Over the last three months, CONSOL Energy has outperformed the Zacks categorized Coal industry. During this period, company’s shares gained 14.55%, compared with the industry’s increase of 6.0%.
Stocks to Consider
While CONSOL Energy failed to secure the required mix, here are a couple of coal companies looking up this earnings season.
CNX Coal Resources LP (CNXC - Free Report) has an Earnings ESP of +17.31% and a Zacks Rank #3. The company is expected to release fourth-quarter 2016 results on Jan 30.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
CONSOL (CNX) Q4 Earnings: What's in Store for the Stock?
CONSOL Energy Inc. (CNX - Free Report) is expected to report fourth-quarter 2016 results before the market opens on Jan 31. Last quarter, this coal and natural gas company reported a negative earnings surprise of 36.36%. On an average, the company has delivered a negative earnings surprise of 39.42% over the four trailing quarters. Let’s find out what’s in store in this quarter.
Factors to Consider
Even though President Trump’s vow to revive the fossil fuel industry is expected to benefit coal miners, natural gas continues to pose tough completion on the back of its clean-burning nature and low prices.
During the quarter, CONSOL Energy decided to dissolve its joint venture with Noble Energy in the Marcellus Shale properties. Post the closure of the joint venture, CONSOL Energy will own a 100% working interest in approximately 306,000 Marcellus acres with associated production of approximately 620 million cubic feet per day of natural gas equivalents. The majority of the acreage operated by CONSOL Energy is in Pennsylvania.
CONSOL Energy’s E&P margins might improve a bit sequentially in the fourth quarter of 2016, courtesy of its hedging activities and cost-saving initiatives.
Earnings Whispers
Our proven model does not conclusively show that CONSOL Energy is likely to beat estimates this quarter as it does not have the right combination of the two key ingredients. Note that a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) to be able to beat estimates. However, that is not the case here, as elaborated below.
CONSOL Energy Inc. Price and EPS Surprise
CONSOL Energy Inc. Price and EPS Surprise | CONSOL Energy Inc. Quote
Zacks ESP: CONSOL Energy has an Earnings ESP of -50.00% since the Most Accurate estimate is pegged at a loss of 3 cents while the Zacks Consensus Estimate stands at a loss of 2 cents.
Zacks Rank: Although CONSOL Energy’s Zacks Rank #2 increases the predictive power of ESP, its negative ESP makes surprise prediction difficult.
Note that we caution against Sell-rated stocks (#4 or 5) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Price Movement
Over the last three months, CONSOL Energy has outperformed the Zacks categorized Coal industry. During this period, company’s shares gained 14.55%, compared with the industry’s increase of 6.0%.
Stocks to Consider
While CONSOL Energy failed to secure the required mix, here are a couple of coal companies looking up this earnings season.
Alliance Resource Partners L.P. (ARLP - Free Report) is expected to release fourth-quarter 2016 results on Jan 30. The company has an Earnings ESP of +2.33% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
CNX Coal Resources LP (CNXC - Free Report) has an Earnings ESP of +17.31% and a Zacks Rank #3. The company is expected to release fourth-quarter 2016 results on Jan 30.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 "Strong Buy" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 "Strong Sells" and other private research. See these stocks free >>