Sociedad Quimica y Minera de Chile S.A. (SQM - Free Report) is slated to release second-quarter 2023 results on Aug 16.
The company beat the Zacks Consensus Estimate for earnings in two of the last four quarters while missed twice. It has a trailing four-quarter earnings surprise of around -0.9%, on average. It posted a negative earnings surprise of roughly 15.7% in the last reported quarter.
The company’s second-quarter results are likely to have benefited from improved lithium demand and higher prices. Iodine volumes and prices are also expected to have remained strong in the quarter. However, the weakness in the Specialty Plant Nutrients segment is expected to have continued in the second quarter.
Shares of Sociedad Quimica have lost 36.7% in the past year compared with 29.7% decline of the industry.
Let’s see how things are shaping up for this announcement.
What do the Estimates Say?
The Zacks Consensus Estimate for second-quarter sales for Sociedad Quimica is currently pegged at $2,240 million, which suggests a decline of around 13.8% year over year.
Some Factors to Watch For
The company is likely to have gained from higher prices and increased volumes in the June quarter. Higher sales volumes in lithium and iodine businesses are expected to have aided its performance in the quarter.
Sociedad Quimica is seeing favorable trends in the lithium market underpinned by strong electric vehicle sales. The company is expected to have witnessed a recovery in lithium demand in the second quarter after a weak first quarter, which was impacted by softer demand in China. This is likely to have supported lithium sales volumes in the quarter to be reported. Improved demand is also likely to have supported lithium prices in the quarter.
Iodine volumes are also expected to have been supported by growing demand. The company is expected to have gained from higher demand in the iodine market in the second quarter. SQM is also likely to have witnessed some volume recovery in the potassium business.
However, the sustained pressure on sales volumes in the Specialty Plant Nutrients segment is expected to have continued in the second quarter on weak global potassium nitrate demand.
Zacks Model
Our proven model does not conclusively predict an earnings beat for Sociedad Quimica this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here.
Earnings ESP: Earnings ESP for Sociedad Quimica is -12.02%. The Zacks Consensus Estimate for earnings for the second quarter is currently pegged at $2.62. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Sociedad Quimica currently carries a Zacks Rank #3.
Stocks That Warrant a Look
Here are some companies you may want to consider, as our model shows these have the right combination of elements to post an earnings beat this quarter:
Deere & Company (DE - Free Report) , scheduled to release earnings on Aug 18, has an Earnings ESP of +2.03% and carries a Zacks Rank #3. You can see the complete list of today’s Zacks Rank #1 stocks here.
The consensus estimate for DE’s earnings for the fiscal third quarter is currently pegged at $8.12.
America's Car-Mart, Inc. (CRMT - Free Report) , slated to release earnings on Sep 5, has an Earnings ESP of +17.75% and carries a Zacks Rank #3 at present.
The consensus mark for CRMT’s fiscal first-quarter earnings is currently pegged at 98 cents.
Dollar Tree, Inc. (DLTR - Free Report) , scheduled to release earnings on Aug 24, has an Earnings ESP of +4.20%.
The Zacks Consensus Estimate for Dollar Tree's earnings for the second quarter is currently pegged at 87 cents. DLTR currently carries a Zacks Rank #3.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Sociedad Quimica y Minera de Chile S.A. (SQM - Free Report) is slated to release second-quarter 2023 results on Aug 16.
The company beat the Zacks Consensus Estimate for earnings in two of the last four quarters while missed twice. It has a trailing four-quarter earnings surprise of around -0.9%, on average. It posted a negative earnings surprise of roughly 15.7% in the last reported quarter.
The company’s second-quarter results are likely to have benefited from improved lithium demand and higher prices. Iodine volumes and prices are also expected to have remained strong in the quarter. However, the weakness in the Specialty Plant Nutrients segment is expected to have continued in the second quarter.
Shares of Sociedad Quimica have lost 36.7% in the past year compared with 29.7% decline of the industry.
Let’s see how things are shaping up for this announcement.
What do the Estimates Say?
The Zacks Consensus Estimate for second-quarter sales for Sociedad Quimica is currently pegged at $2,240 million, which suggests a decline of around 13.8% year over year.
Some Factors to Watch For
The company is likely to have gained from higher prices and increased volumes in the June quarter. Higher sales volumes in lithium and iodine businesses are expected to have aided its performance in the quarter.
Sociedad Quimica is seeing favorable trends in the lithium market underpinned by strong electric vehicle sales. The company is expected to have witnessed a recovery in lithium demand in the second quarter after a weak first quarter, which was impacted by softer demand in China. This is likely to have supported lithium sales volumes in the quarter to be reported. Improved demand is also likely to have supported lithium prices in the quarter.
Iodine volumes are also expected to have been supported by growing demand. The company is expected to have gained from higher demand in the iodine market in the second quarter. SQM is also likely to have witnessed some volume recovery in the potassium business.
However, the sustained pressure on sales volumes in the Specialty Plant Nutrients segment is expected to have continued in the second quarter on weak global potassium nitrate demand.
Zacks Model
Our proven model does not conclusively predict an earnings beat for Sociedad Quimica this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here.
Earnings ESP: Earnings ESP for Sociedad Quimica is -12.02%. The Zacks Consensus Estimate for earnings for the second quarter is currently pegged at $2.62. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Sociedad Quimica currently carries a Zacks Rank #3.
Stocks That Warrant a Look
Here are some companies you may want to consider, as our model shows these have the right combination of elements to post an earnings beat this quarter:
Deere & Company (DE - Free Report) , scheduled to release earnings on Aug 18, has an Earnings ESP of +2.03% and carries a Zacks Rank #3. You can see the complete list of today’s Zacks Rank #1 stocks here.
The consensus estimate for DE’s earnings for the fiscal third quarter is currently pegged at $8.12.
America's Car-Mart, Inc. (CRMT - Free Report) , slated to release earnings on Sep 5, has an Earnings ESP of +17.75% and carries a Zacks Rank #3 at present.
The consensus mark for CRMT’s fiscal first-quarter earnings is currently pegged at 98 cents.
Dollar Tree, Inc. (DLTR - Free Report) , scheduled to release earnings on Aug 24, has an Earnings ESP of +4.20%.
The Zacks Consensus Estimate for Dollar Tree's earnings for the second quarter is currently pegged at 87 cents. DLTR currently carries a Zacks Rank #3.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
4 Oil Stocks with Massive Upsides
Global demand for oil is through the roof... and oil producers are struggling to keep up. So even though oil prices are well off their recent highs, you can expect big profits from the companies that supply the world with "black gold."
Zacks Investment Research has just released an urgent special report to help you bank on this trend.
In Oil Market on Fire, you'll discover 4 unexpected oil and gas stocks positioned for big gains in the coming weeks and months. You don't want to miss these recommendations.
Download your free report now to see them.
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