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Will PBF Energy's (PBF) Refining Business Aid Q3 Earnings?
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PBF Energy Inc. (PBF - Free Report) is set to release third-quarter 2022 results on Oct 27, before the opening bell. Since the player has significant exposure to the refining business, higher gasoline price is likely to have aided the quarterly performance.
Refining Business & Q2 Performance
In North America, PBF Energy is among the largest independent refiners. PBF is also involved in supplying heating oil, unbranded transportation fuels, lubricants and petrochemical feedstocks. From refining activities, the energy firm reported income from operations of $1,883.4 million in the second quarter of 2022.
From the East Coast Refining System, PBF Energy reported a gross refining margin, excluding special items, per barrel of throughput of $30.55, significantly higher than $4.19 in the second quarter of 2021. From the Mid-Continent, PBF Energy’s gross refining margin, excluding special items, per barrel of throughput was reported at $30.24, which increased considerably from $7.26 in the year-ago quarter.
Q3 Activities
Gasoline price was much higher in the third quarter than a year ago on demand recovery. The refining capacity to process oil into end products like gasoline was insufficient to support handsome fuel demand, thus elevating fuel prices. Hence, PBF Energy, among the largest independent petroleum refiners, is likely to have benefited from increased fuel prices.
Forecast for Q3 Refining Business
The Zacks Consensus Estimate for PBF Energy’s income from operations from the refining business is pegged at $978 million, suggesting an improvement from $117 million reported in the year-ago quarter. Our estimate for the metric in the third quarter is pegged at $477.3 million, suggesting an improvement from the year-ago quarter’s actuals.
Earnings & Revenue Projections
The solid refining business is likely to have aided PBF Energy’s earnings in the September quarter of 2022. The Zacks Consensus Estimate for its third-quarter earnings of $6.03 per share suggests a massive improvement year over year. The same for sales of $10.1 billion indicates a 40.8% increase.
PBF Energy, carrying a Zacks Rank #2 (Buy), has an Earnings ESP of +10.30%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Our proven model predicts an earnings beat for PBF Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 or 3 (Hold) increases the chances of an earnings beat, which is exactly the case here.
Here are some other firms worth considering, as these, too, have the right combination of elements to beat on earnings in the upcoming quarterly reports:
Viper Energy is scheduled to release third-quarter results on Nov 7. The Zacks Consensus Estimate for VNOM’s earnings is pegged at 40 cents per share, suggesting an increase of 90.5% from the prior-year quarter’s reported figure.
Diamondback Energy, Inc. (FANG - Free Report) has an Earnings ESP of +0.67% and a Zacks Rank of 3.
Diamondback is scheduled to report third-quarter results on Nov 7. The Zacks Consensus Estimate for FANG’s earnings is pegged at $6.46 per share, suggesting a significant increase from the prior-year quarter’s reported figure.
Enterprise Products Partners LP (EPD - Free Report) has an Earnings ESP of +0.54% and a Zacks Rank #3.
Enterprise Products is scheduled to release third-quarter earnings on Nov 1. The Zacks Consensus Estimate for EPD’s earnings is pegged at 61 cents per share, suggesting an increase of 17.3% from the prior-year quarter’s reported figure.
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Will PBF Energy's (PBF) Refining Business Aid Q3 Earnings?
PBF Energy Inc. (PBF - Free Report) is set to release third-quarter 2022 results on Oct 27, before the opening bell. Since the player has significant exposure to the refining business, higher gasoline price is likely to have aided the quarterly performance.
Refining Business & Q2 Performance
In North America, PBF Energy is among the largest independent refiners. PBF is also involved in supplying heating oil, unbranded transportation fuels, lubricants and petrochemical feedstocks. From refining activities, the energy firm reported income from operations of $1,883.4 million in the second quarter of 2022.
From the East Coast Refining System, PBF Energy reported a gross refining margin, excluding special items, per barrel of throughput of $30.55, significantly higher than $4.19 in the second quarter of 2021. From the Mid-Continent, PBF Energy’s gross refining margin, excluding special items, per barrel of throughput was reported at $30.24, which increased considerably from $7.26 in the year-ago quarter.
Q3 Activities
Gasoline price was much higher in the third quarter than a year ago on demand recovery. The refining capacity to process oil into end products like gasoline was insufficient to support handsome fuel demand, thus elevating fuel prices. Hence, PBF Energy, among the largest independent petroleum refiners, is likely to have benefited from increased fuel prices.
Forecast for Q3 Refining Business
The Zacks Consensus Estimate for PBF Energy’s income from operations from the refining business is pegged at $978 million, suggesting an improvement from $117 million reported in the year-ago quarter. Our estimate for the metric in the third quarter is pegged at $477.3 million, suggesting an improvement from the year-ago quarter’s actuals.
Earnings & Revenue Projections
The solid refining business is likely to have aided PBF Energy’s earnings in the September quarter of 2022. The Zacks Consensus Estimate for its third-quarter earnings of $6.03 per share suggests a massive improvement year over year. The same for sales of $10.1 billion indicates a 40.8% increase.
PBF Energy, carrying a Zacks Rank #2 (Buy), has an Earnings ESP of +10.30%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Our proven model predicts an earnings beat for PBF Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 or 3 (Hold) increases the chances of an earnings beat, which is exactly the case here.
PBF Energy Inc. Price and EPS Surprise
PBF Energy Inc. price-eps-surprise | PBF Energy Inc. Quote
Other Stocks to Consider
Here are some other firms worth considering, as these, too, have the right combination of elements to beat on earnings in the upcoming quarterly reports:
Viper Energy Partners LP (VNOM - Free Report) has an Earnings ESP of +20.24% and is a Zacks #3 Ranked player. You can see the complete list of today’s Zacks #1 Rank stocks here.
Viper Energy is scheduled to release third-quarter results on Nov 7. The Zacks Consensus Estimate for VNOM’s earnings is pegged at 40 cents per share, suggesting an increase of 90.5% from the prior-year quarter’s reported figure.
Diamondback Energy, Inc. (FANG - Free Report) has an Earnings ESP of +0.67% and a Zacks Rank of 3.
Diamondback is scheduled to report third-quarter results on Nov 7. The Zacks Consensus Estimate for FANG’s earnings is pegged at $6.46 per share, suggesting a significant increase from the prior-year quarter’s reported figure.
Enterprise Products Partners LP (EPD - Free Report) has an Earnings ESP of +0.54% and a Zacks Rank #3.
Enterprise Products is scheduled to release third-quarter earnings on Nov 1. The Zacks Consensus Estimate for EPD’s earnings is pegged at 61 cents per share, suggesting an increase of 17.3% from the prior-year quarter’s reported figure.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.