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What's in the Cards for Sempra Energy (SRE) in Q1 Earnings?
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Sempra Energy (SRE - Free Report) is set to report first-quarter 2021 results on May 5, before market open. In the last reported quarter, the company delivered an earnings surprise of 22.58%.
In the trailing four quarters, Sempra Energy came up with an earnings surprise of 10.97%, on average.
Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.
During most part of the first quarter, major parts of the company’s service territories experienced below-normal cold temperatures, accompanied by occasional snowfall as well as rain. Such weather pattern might have spurred electricity demand. This, in turn, is expected to have aided Sempra Energy’s first-quarter top line.
Moreover, favorable rate case approvals in the prior quarters might have also contributed to its revenue growth.
The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $3.16 billion, indicating 4.4% rise from the year-ago quarter’s reported figure.
Wildfire has been consistently affecting utility providers operating in the state of California, including Sempra Energy. During the first quarter, the state experienced a handful of such wildfire events, which might have caused power outage along with damage to the utility’s infrastructure. Also a few storms affected the company’s service territory during the first quarter resulting in power outage. These might have increased operating expenses for Sempra Energy during the soon-to-be-reported quarter.
For the first quarter, the Zacks Consensus Estimate for earnings per share is pegged at $2.60, indicating a decline of 15.6% from the earnings figure reported in the year-ago quarter.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for Sempra Energy 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 an earnings beat.
Earnings ESP: Sempra Energy 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.
Here are some players from the Utilities sector with the right combination of elements to post an earnings beat in the to-be-reported quarter.
CenterPoint Energy (CNP - Free Report) has an Earnings ESP of +4.52% and a Zacks Rank #3.
UGI Corp (UGI - Free Report) has an Earnings ESP of +1.74% and a Zacks Rank #3.
Duke Energy (DUK - Free Report) has an Earnings ESP of +0.16% and a Zacks Rank #3.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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What's in the Cards for Sempra Energy (SRE) in Q1 Earnings?
Sempra Energy (SRE - Free Report) is set to report first-quarter 2021 results on May 5, before market open. In the last reported quarter, the company delivered an earnings surprise of 22.58%.
In the trailing four quarters, Sempra Energy came up with an earnings surprise of 10.97%, on average.
Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.
Sempra Energy Price and EPS Surprise
Sempra Energy price-eps-surprise | Sempra Energy Quote
Factors to Consider
During most part of the first quarter, major parts of the company’s service territories experienced below-normal cold temperatures, accompanied by occasional snowfall as well as rain. Such weather pattern might have spurred electricity demand. This, in turn, is expected to have aided Sempra Energy’s first-quarter top line.
Moreover, favorable rate case approvals in the prior quarters might have also contributed to its revenue growth.
The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $3.16 billion, indicating 4.4% rise from the year-ago quarter’s reported figure.
Wildfire has been consistently affecting utility providers operating in the state of California, including Sempra Energy. During the first quarter, the state experienced a handful of such wildfire events, which might have caused power outage along with damage to the utility’s infrastructure. Also a few storms affected the company’s service territory during the first quarter resulting in power outage. These might have increased operating expenses for Sempra Energy during the soon-to-be-reported quarter.
For the first quarter, the Zacks Consensus Estimate for earnings per share is pegged at $2.60, indicating a decline of 15.6% from the earnings figure reported in the year-ago quarter.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for Sempra Energy 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 an earnings beat.
Earnings ESP: Sempra Energy 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: The company carries 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 Utilities sector with the right combination of elements to post an earnings beat in the to-be-reported quarter.
CenterPoint Energy (CNP - Free Report) has an Earnings ESP of +4.52% and a Zacks Rank #3.
UGI Corp (UGI - Free Report) has an Earnings ESP of +1.74% and a Zacks Rank #3.
Duke Energy (DUK - Free Report) has an Earnings ESP of +0.16% and a Zacks Rank #3.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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