An Earnings Miss: Europe’s largest oil company Royal Dutch Shell plc reported earnings per ADS (on a current cost of supplies basis, excluding items – the market’s preferred measure) of $1.36, below the Zacks Consensus Estimate of $1.43 but above the year-ago profit of $1.00.
Estimate Revision Trend & Surprise History: The stock had seen the Zacks Consensus Estimate for second-quarter earnings being revised 2% upward over the last 30 days.
Coming to earnings surprise history, the blue-chip company has a good record: its beaten estimates in three of the last four quarters, as shown in the chart below:
Revenues: Revenues of $101.5 billion were 31% above the third-quarter 2017 sales of $77.7 billion.
Key Stats: Upstream segment recorded a profit of $1.9 billion (excluding items) during the quarter, soaring from the paltry $562 million (adjusted) achieved in the year-ago period. Shell’s upstream volumes averaged 2,672 thousand oil-equivalent barrels per day (MBOE/d), 1% higher than the year-ago period. At $68.38 per barrel, the group’s worldwide realized liquids prices were 45% above the year-earlier levels while natural gas prices were up 16%.
In the downstream segment – that focuses on refining, marketing and retailing – the Anglo-Dutch super-major reported adjusted income of $2 billion, 25% less than the $2.7 billion earned in the year-ago period.
The Integrated Gas unit reported adjusted income of $2.9 billion, up 79% from the $1.3 billion in July-September quarter of 2017.
Moreover, the oil major’s operating cash flow increased 59% from the year-earlier level to $12.1 billion.
Buyback Plans: As part of the company’s $25 billion buyback program during the period 2018-2020, Shell will repurchase $2.5 billion worth of shares up to Jan 28 in the second instalment.
Zacks Rank: Currently, Royal Dutch Shell carries a Zacks Rank #3 (Hold).
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
Check back later for our full write up on this Royal Dutch Shell earnings report later!
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An Earnings Miss: Europe’s largest oil company Royal Dutch Shell plc reported earnings per ADS (on a current cost of supplies basis, excluding items – the market’s preferred measure) of $1.36, below the Zacks Consensus Estimate of $1.43 but above the year-ago profit of $1.00.
Estimate Revision Trend & Surprise History: The stock had seen the Zacks Consensus Estimate for second-quarter earnings being revised 2% upward over the last 30 days.
Coming to earnings surprise history, the blue-chip company has a good record: its beaten estimates in three of the last four quarters, as shown in the chart below:
Revenues: Revenues of $101.5 billion were 31% above the third-quarter 2017 sales of $77.7 billion.
Key Stats: Upstream segment recorded a profit of $1.9 billion (excluding items) during the quarter, soaring from the paltry $562 million (adjusted) achieved in the year-ago period. Shell’s upstream volumes averaged 2,672 thousand oil-equivalent barrels per day (MBOE/d), 1% higher than the year-ago period. At $68.38 per barrel, the group’s worldwide realized liquids prices were 45% above the year-earlier levels while natural gas prices were up 16%.
In the downstream segment – that focuses on refining, marketing and retailing – the Anglo-Dutch super-major reported adjusted income of $2 billion, 25% less than the $2.7 billion earned in the year-ago period.
The Integrated Gas unit reported adjusted income of $2.9 billion, up 79% from the $1.3 billion in July-September quarter of 2017.
Moreover, the oil major’s operating cash flow increased 59% from the year-earlier level to $12.1 billion.
Buyback Plans: As part of the company’s $25 billion buyback program during the period 2018-2020, Shell will repurchase $2.5 billion worth of shares up to Jan 28 in the second instalment.
Zacks Rank: Currently, Royal Dutch Shell carries a Zacks Rank #3 (Hold).
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
Check back later for our full write up on this Royal Dutch Shell earnings report later!
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>