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.
Is a Beat in the Cards for NiSource (NI) in Q1 Earnings?
Read MoreHide Full Article
We expect NiSource (NI - Free Report) to beat expectations when it reports first-quarter 2017 results before the market opens on May 3. Last quarter, this fully-regulated utility company delivered a negative earnings surprise of 2.94%.
Why a Likely Positive Surprise?
Our proven model shows that NiSource is likely to beat estimates because it has the right combination of two key ingredients. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat estimates and NiSource has the right mix.
Zacks ESP: The Earnings ESP which represents the difference between the Most Accurate estimate of 67 cents and the Zacks Consensus Estimate of 65 cents is +3.08%. This is a meaningful and leading indicator of a likely positive surprise. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: NiSource currently carries a Zacks Rank #2. The combination of NiSource’s favorable Zacks Rank and positive ESP makes us reasonably confident of a positive surprise this season.
Conversely, we caution against with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is witnessing negative estimate revisions.
Factors to Consider
NiSource completed significant regulatory initiatives including gas base rate case settlement approvals in Kentucky, Maryland and Pennsylvania. It also received approvals of settlements in a long-term electric modernization program and electric base rate case in Indiana.
These new approved rates will significantly add to first-quarter revenues of NiSource.
The company also added more than 30,000 new natural gas customers in 2016, the highest since 2006. Customer addition will continue to contribute to the company’s top-line.
On the other hand, delay in completion of projects along with inconsistent weather condition, might affect the company’s results.
Other Stocks to Consider
NiSource is not the only Zacks Categorized Utility – Electric Power company looking up this earnings season. We see likely earnings beats coming from these companies as well.
Dominion Resources, Inc. (D - Free Report) has an Earnings ESP of +2.15% and a Zacks Rank #3. It is slated to report first-quarter 2017 earnings on May 4.
Pattern Energy Group Inc. has an Earnings ESP of + 300% and a Zacks Rank #3. It is slated to report first-quarter 2017 earnings on May 9.
Zacks' Hidden Trades
While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?
Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum...from stocks under $10 to ETF to option movers...from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors.
Image: Bigstock
Is a Beat in the Cards for NiSource (NI) in Q1 Earnings?
We expect NiSource (NI - Free Report) to beat expectations when it reports first-quarter 2017 results before the market opens on May 3. Last quarter, this fully-regulated utility company delivered a negative earnings surprise of 2.94%.
Why a Likely Positive Surprise?
Our proven model shows that NiSource is likely to beat estimates because it has the right combination of two key ingredients. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat estimates and NiSource has the right mix.
Zacks ESP: The Earnings ESP which represents the difference between the Most Accurate estimate of 67 cents and the Zacks Consensus Estimate of 65 cents is +3.08%. This is a meaningful and leading indicator of a likely positive surprise. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
NiSource, Inc Price and EPS Surprise
NiSource, Inc Price and EPS Surprise | NiSource, Inc Quote
Zacks Rank: NiSource currently carries a Zacks Rank #2. The combination of NiSource’s favorable Zacks Rank and positive ESP makes us reasonably confident of a positive surprise this season.
Conversely, we caution against with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is witnessing negative estimate revisions.
Factors to Consider
NiSource completed significant regulatory initiatives including gas base rate case settlement approvals in Kentucky, Maryland and Pennsylvania. It also received approvals of settlements in a long-term electric modernization program and electric base rate case in Indiana.
These new approved rates will significantly add to first-quarter revenues of NiSource.
The company also added more than 30,000 new natural gas customers in 2016, the highest since 2006. Customer addition will continue to contribute to the company’s top-line.
On the other hand, delay in completion of projects along with inconsistent weather condition, might affect the company’s results.
Other Stocks to Consider
NiSource is not the only Zacks Categorized Utility – Electric Power company looking up this earnings season. We see likely earnings beats coming from these companies as well.
PPL Corporation (PPL - Free Report) has an Earnings ESP of +1.61% and a Zacks Rank #3. It is slated to report first-quarter 2017 earnings on May 4. You can see the complete list of today’s Zacks #1 Rank stocks here.
Dominion Resources, Inc. (D - Free Report) has an Earnings ESP of +2.15% and a Zacks Rank #3. It is slated to report first-quarter 2017 earnings on May 4.
Pattern Energy Group Inc. has an Earnings ESP of + 300% and a Zacks Rank #3. It is slated to report first-quarter 2017 earnings on May 9.
Zacks' Hidden Trades
While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?
Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum...from stocks under $10 to ETF to option movers...from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors.
Click here for Zacks' secret trade>>