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What's in the Cards for Murphy Oil (MUR) in Q3 Earnings?

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Murphy Oil Corporation (MUR - Free Report) is slated to report third-quarter financial results on Nov 5, before the opening bell. The company has a trailing four-quarter earnings surprise of 35.91%, on average.

Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.

Factors to Consider

Murphy Oil undertook various cost-saving initiatives to preserve liquidity and cash flow while its well-hedged portfolio helps it safeguard its interest against a decline in demand and weakness in crude oil prices due to the ongoing pandemic. However, due to the threat from storms, the company evacuated personnel and shut down production, which in turn, is likely to affect its upcoming results.

Q3 Expectations

The Zacks Consensus Estimate for third-quarter 2020 sales is pegged at $467.24 million, indicating a decline of 42.82% from the year-ago quarter’s reported figure. The consensus estimate for third-quarter loss of 19 cents per share implies a 152.78% plunge from the prior-year period’s reported number.

The consensus mark for the company’s third-quarter total crude oil production stands at 153-163 thousand barrels of oil equivalents per day.

What Our Quantitative Model Predicts

Our proven model does not conclusively predict an earnings beat for Murphy Oil this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates. But that is not the case here as you see below.

Murphy Oil Corporation Price and EPS Surprise

Murphy Oil Corporation Price and EPS Surprise

Murphy Oil Corporation price-eps-surprise | Murphy Oil Corporation Quote

Earnings ESP: Murphy Oil has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Murphy Oil currently has a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Here are some players from the industry that have the right combination of elements to beat on earnings the to-be-reported quarter.

Oasis Petroleum Inc. is expected to release third-quarter numbers on Nov 3. It has an Earnings ESP of +300.00% and a Zacks Rank of 2, currently.

Earthstone Energy, Inc. (ESTE - Free Report) is set to release third-quarter 2020 numbers on Nov 4. It has an Earnings ESP of +12.50% and a Zacks Rank #2 at present.

Sundance Energy Australia Ltd. (SNDE - Free Report) is set to release third-quarter 2020 results on Nov 9. It has an Earnings ESP of +15.90% and is presentlyZacks #2 Ranked.

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