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EQT Corporation (EQT) Q1 Earnings: A Beat in the Cards?
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Integrated energy company, EQT Corporation (EQT - Free Report) is set to release first-quarter 2017 results on Apr 27.
The Pittsburgh, PA-based company’s earnings surprise history is impressive. The company surpassed the Zacks Consensus Estimate in all the prior four quarters with an average positive earnings surprise of 163.71%. Let’s see how things are shaping up for this announcement.
Why a Likely Positive Surprise?
Our proven model shows that EQT Corporation is likely to beat on earnings because it has the right combination of two key ingredients.
Zacks ESP: Earnings ESP, which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is +11.11%. This is very meaningful and a leading indicator of a likely positive earnings surprise for shares. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: EQT Corporation carries a Zacks Rank #3 (Hold), which when combined with +11.11% ESP, makes us confident about an earnings beat.
Please note that stocks with Zacks Ranks #1 (Strong Buy), 2 (Buy) or 3 have a significantly higher chance of beating on earnings. The Sell-rated stocks (Zacks Rank #4 or 5) should never be considered going into an earnings announcement.
What is Driving the Better-Than-Expected Earnings?
For the first quarter, EQT Corporation estimates volume in the range of 190–195 billion cubic feet equivalent (Bcfe) as against 179.9 Bcfe recorded in the first three months of the prior year.
Also, the natural gas pricing scenario was much healthier during first quarter than the year-earlier period. Improvement in natural gas equivalent production along with a better pricing environment could be favorable for the company’s upstream business. We expect these positives to boost the company’s bottom-line performance this quarter.
Investors should know that energy firms have been gathering to the U.S resource plays for more drilling operations during the first quarter. This is reflected in the improved rig count data issued by Baker Hughes Inc. .
We expect higher production due to increased drilling activities to result in greater demand for midstream businesses for gathering and transportation of the commodities. Thus, the company’s midstream business during the first quarter is likely to be more profitable.
First-Quarter Stock Price Performance
The first three months of this year were favorable for EQT Corporation. This is reflected in the company’s first-quarter pricing chart that showed that the integrated player’s stock outperformed the Zacks categorized Oil & Gas-U.S Integrated industry. During the aforesaid period, EQT Corporation shares lost 6.6% compared with 9.4% decrease by the broader industry.
Other Stocks to Consider
EQT Corporation is not the only company looking up this earnings season. Here are some other companies from the energy space that have the right combination of elements to post an earnings beat.
Cimarex Energy Co. has an Earnings ESP of +2.38% and a Zacks Rank #3. The firm is expected to release earnings on May 8.
Looking for Ideas with Even Greater Upside?
Today's investment ideas are short-term, directly based on our proven 1 to 3 month indicator. In addition, I invite you to consider our long-term opportunities. These rare trades look to start fast with strong Zacks Ranks, but carry through with double and triple-digit profit potential. Starting now, you can look inside our home run, value, and stocks under $10 portfolios, plus more. Click here for a peek at this private information >>
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EQT Corporation (EQT) Q1 Earnings: A Beat in the Cards?
Integrated energy company, EQT Corporation (EQT - Free Report) is set to release first-quarter 2017 results on Apr 27.
The Pittsburgh, PA-based company’s earnings surprise history is impressive. The company surpassed the Zacks Consensus Estimate in all the prior four quarters with an average positive earnings surprise of 163.71%. Let’s see how things are shaping up for this announcement.
Why a Likely Positive Surprise?
Our proven model shows that EQT Corporation is likely to beat on earnings because it has the right combination of two key ingredients.
Zacks ESP: Earnings ESP, which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is +11.11%. This is very meaningful and a leading indicator of a likely positive earnings surprise for shares. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: EQT Corporation carries a Zacks Rank #3 (Hold), which when combined with +11.11% ESP, makes us confident about an earnings beat.
Please note that stocks with Zacks Ranks #1 (Strong Buy), 2 (Buy) or 3 have a significantly higher chance of beating on earnings. The Sell-rated stocks (Zacks Rank #4 or 5) should never be considered going into an earnings announcement.
What is Driving the Better-Than-Expected Earnings?
For the first quarter, EQT Corporation estimates volume in the range of 190–195 billion cubic feet equivalent (Bcfe) as against 179.9 Bcfe recorded in the first three months of the prior year.
Also, the natural gas pricing scenario was much healthier during first quarter than the year-earlier period. Improvement in natural gas equivalent production along with a better pricing environment could be favorable for the company’s upstream business. We expect these positives to boost the company’s bottom-line performance this quarter.
Investors should know that energy firms have been gathering to the U.S resource plays for more drilling operations during the first quarter. This is reflected in the improved rig count data issued by Baker Hughes Inc. .
We expect higher production due to increased drilling activities to result in greater demand for midstream businesses for gathering and transportation of the commodities. Thus, the company’s midstream business during the first quarter is likely to be more profitable.
First-Quarter Stock Price Performance
The first three months of this year were favorable for EQT Corporation. This is reflected in the company’s first-quarter pricing chart that showed that the integrated player’s stock outperformed the Zacks categorized Oil & Gas-U.S Integrated industry. During the aforesaid period, EQT Corporation shares lost 6.6% compared with 9.4% decrease by the broader industry.
Other Stocks to Consider
EQT Corporation is not the only company looking up this earnings season. Here are some other companies from the energy space that have the right combination of elements to post an earnings beat.
Chesapeake Energy Corp. (CHK - Free Report) has an Earnings ESP of +5.00% and a Zacks Rank #3. The company is expected to release earnings on May 4. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Cimarex Energy Co. has an Earnings ESP of +2.38% and a Zacks Rank #3. The firm is expected to release earnings on May 8.
Looking for Ideas with Even Greater Upside?
Today's investment ideas are short-term, directly based on our proven 1 to 3 month indicator. In addition, I invite you to consider our long-term opportunities. These rare trades look to start fast with strong Zacks Ranks, but carry through with double and triple-digit profit potential. Starting now, you can look inside our home run, value, and stocks under $10 portfolios, plus more. Click here for a peek at this private information >>