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Duke Energy (DUK) to Post Q3 Earnings: What's in Store?

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Duke Energy Corporation (DUK - Free Report) is slated to report third-quarter 2021 results on Nov 4, before the opening bell.

In the last reported quarter, the company delivered an earnings surprise of 2.68%. Duke Energy has a trailing four-quarter earnings surprise of 2.44%, on average.

Factors to Note

During the third quarter, the company’s service territories experienced mixed weather patterns. While some parts had warmer-than-normal temperature accompanied by extremely dry conditions, in other parts, colder-than-normal temperature was observed. Thus, the overall weather pattern mighthave a moderate impact on the utility’s third-quarter performance.

Withthe U.S. economy gradually recovering over the past couple of quarters, an improvement in industrial and commercial sales might have favorably contributed to revenues in the quarter to be reported.

The Zacks Consensus Estimate for third-quarter revenues is pegged at $7.02 billion, suggesting growth of 4.4% from the year-ago quarter.

Duke Energy took initiatives in 2020 to significantly reduce its operations and maintenance (O&M) expenses amid the pandemic. As a result of reductions then, O&M costs might have escalated in the quarter.This, in turn, might have weighed on the to-be-reported quarter’s performance. 

The Zacks Consensus Estimate for third-quarter earnings is pegged at $1.81 per share, indicating a decline of 3.2% from the prior-year reported figure.

Duke Energy Corporation Price and EPS Surprise

Duke Energy Corporation Price and EPS Surprise

Duke Energy Corporation price-eps-surprise | Duke Energy Corporation Quote

What the Zacks Model Unveils

Our proven model does not conclusively predict an earnings beat for Duke 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. But that is not the case here.

Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Duke Energy currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Here are three Utilities players you may want to consider, as these have the right combination of elements to post an earnings beat this season:

TransAlta Corporation (TAC - Free Report) has an Earnings ESP of +12.50% and a Zacks Rank #3.

Brookfield Infrastructure Partners (BIP - Free Report) has an Earnings ESP of +0.57% and a Zacks Rank #2.

Edison International (EIX - Free Report) has an Earnings ESP of +1.49% and a Zacks Rank #3.

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