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FirstEnergy (FE) to Report Q4 Earnings: What's in the Offing?

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FirstEnergy Corporation (FE - Free Report) is slated to release fourth-quarter 2021 results on Feb 10 after the market closes. The firm delivered a positive earnings surprise of 1.23% in the last reported quarter.

Let’s see how things have shaped up before the upcoming earnings announcement.

Factors to Consider

FirstEnergy’s fourth-quarter earnings are likely to have gained from lower Operating and Maintenance expenses. The higher sales volume from the Commercial and Industrial group is expected to have boosted fourth-quarter earnings.

FirstEnergy’s fourth-quarter results are expected to have been adversely impacted by the absence of Ohio decoupling, which will lower revenues.

Expectations

The Zacks Consensus Estimate for the fourth-quarter earnings is pegged at 52 cents per share, which indicates growth of 62.5% from the year-ago reported figure.

The Zacks Consensus Estimate for fourth-quarter sales stands at $2.81 billion, suggesting growth of 10.57% from the year-ago reported figure.

What Our Quantitative Model Predicts

Our proven model does not predict an earnings beat for FE this time. 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, which is not the case here as you will see below.

FirstEnergy Corporation Price and EPS Surprise

FirstEnergy Corporation Price and EPS Surprise

FirstEnergy Corporation price-eps-surprise | FirstEnergy Corporation Quote

Earnings ESP: FirstEnergy has an Earnings ESP of +1.44%. You can uncover the best stocks to buy or sell, before they’re reported, with our Earnings ESP Filter.

Zacks Rank: Currently, FirstEnergy carries a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Investors can consider the following players from the same sector who have the right combination of elements to beat earnings in this reporting cycle.

DTE Energy (DTE - Free Report) is likely to come up with an earnings beat when it reports fourth-quarter results on Feb 10 before the market opens. DTE Energy has an Earnings ESP of +1.06% and a Zacks Rank of #3 at present.

DTE Energy’s long-term (three to five years) earnings growth is projected at 6%. The Zacks Consensus Estimate for DTE’s 2022 earnings per share (EPS) indicates year-over-year growth of 0.23%.

Dominion Energy Inc. (D - Free Report) is likely to come up with an earnings beat when it reports fourth-quarter results on Feb 11 before the market opens. Dominion Energy has an Earnings ESP of +0.09% and a Zacks Rank of #3 at present.

Dominion Energy’s long-termearnings growth is projected at 6.59%. The Zacks Consensus Estimate for D’s 2022 EPS indicates year-over-year growth of 6.79%.

ONE Gas Inc. (OGS - Free Report) is likely to come up with an earnings beat when it reports fourth-quarter results on Feb 23 after the market closes. ONE Gas has an Earnings ESP of +0.60% and a Zacks Rank of #3 at present.

ONE Gas’s long-termearnings growth is projected at 5%. The Zacks Consensus Estimate for OGS’s 2022 EPS indicates year-over-year growth of 5.91%.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.