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The Zacks Consensus Estimate for MRC’s fourth-quarter earnings has remained steady in the past 60 days. The company’s earnings surpassed the Zacks Consensus Estimate in two of the past four quarters, while matching in one and missing in the other. The average beat was 103%.
Let’s see how MRC is shaping up this earnings season.
Factors to Note
Lucrative contract wins and projects are also likely to have benefited MRC Global in the to-be-reported quarter.
Market drivers such as distribution integrity upgrade programs and new home construction are expected to have aided the gas utility sector. DIET (downstream, industrial and energy transition) segment’s performance in the fourth quarter is expected to have gained from new energy transition-related projects, project turnaround activity and maintenance, repair and operations (MRO) activities.
However, MRC’s bottom line might have been dented due to the increasingly high cost of sales (due to raw material cost inflation) and supply chain issues. Given the company’s substantial international presence, foreign-currency headwinds are likely to have weighed on the company’s top line in the quarter to be reported.
The Zacks Consensus Estimate for the company’s revenues in the fourth quarter suggests a 27.1% increase from the year-ago quarter’s reported number. The consensus mark for earnings indicates an increase of 35.3% from the year-ago period’s reported figure.
Our proven model does not conclusively predict an earnings beat for MRC 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, which is not the case here, as elaborated below. You can see the complete list of today’s Zacks #1 Rank stocks here.
Earnings ESP: MRC Global has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 23 cents. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: MRC Global currently carries a Zacks Rank of 2.
Highlights of Q3 Earnings
MRC Global reported third-quarter 2022 adjusted earnings (excluding 21 cents from non-recurring items) of 42 cents per share, beating the Zacks Consensus Estimate of 31 cents. The bottom line surged more than 300% year over year. Results benefited from higher sales generation and improved margins. Total revenues of $904 million surpassed the Zacks Consensus Estimate of $885.2 million. The top line increased approximately 32% year over year, owing to growth in gas utilities and downstream, industrial and energy transition (DIET) sectors.
Stocks to Consider
Here are some companies within the broader Industrial Products sector, which according to our model, have the right combination of elements to beat on earnings this reporting cycle.
DMC Global Inc. (BOOM - Free Report) has an Earnings ESP of + 7.86% and a Zacks Rank of 3 at present. The company is slated to release fourth-quarter 2022 results on Feb 23.
DMC Global’s earnings have surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 126%.
Emerson Electric Co. (EMR - Free Report) has an Earnings ESP of +0.57% and a Zacks Rank of 3. The company is scheduled to release first-quarter fiscal 2023 (ended Dec 31, 2022) earnings numbers on Feb 8.
Emerson’s earnings have surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average beat being 8.1%.
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What's in the Offing for MRC Global (MRC) in Q4 Earnings?
MRC Global Inc. (MRC - Free Report) is scheduled to release fourth-quarter 2022 results on Feb 13, after market close.
The Zacks Consensus Estimate for MRC’s fourth-quarter earnings has remained steady in the past 60 days. The company’s earnings surpassed the Zacks Consensus Estimate in two of the past four quarters, while matching in one and missing in the other. The average beat was 103%.
Let’s see how MRC is shaping up this earnings season.
Factors to Note
Lucrative contract wins and projects are also likely to have benefited MRC Global in the to-be-reported quarter.
Market drivers such as distribution integrity upgrade programs and new home construction are expected to have aided the gas utility sector. DIET (downstream, industrial and energy transition) segment’s performance in the fourth quarter is expected to have gained from new energy transition-related projects, project turnaround activity and maintenance, repair and operations (MRO) activities.
However, MRC’s bottom line might have been dented due to the increasingly high cost of sales (due to raw material cost inflation) and supply chain issues. Given the company’s substantial international presence, foreign-currency headwinds are likely to have weighed on the company’s top line in the quarter to be reported.
The Zacks Consensus Estimate for the company’s revenues in the fourth quarter suggests a 27.1% increase from the year-ago quarter’s reported number. The consensus mark for earnings indicates an increase of 35.3% from the year-ago period’s reported figure.
MRC Global Inc. price-eps-surprise | MRC Global Inc. Quote
What Does the Zacks Model Say?
Our proven model does not conclusively predict an earnings beat for MRC 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, which is not the case here, as elaborated below. You can see the complete list of today’s Zacks #1 Rank stocks here.
Earnings ESP: MRC Global has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 23 cents. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: MRC Global currently carries a Zacks Rank of 2.
Highlights of Q3 Earnings
MRC Global reported third-quarter 2022 adjusted earnings (excluding 21 cents from non-recurring items) of 42 cents per share, beating the Zacks Consensus Estimate of 31 cents. The bottom line surged more than 300% year over year. Results benefited from higher sales generation and improved margins. Total revenues of $904 million surpassed the Zacks Consensus Estimate of $885.2 million. The top line increased approximately 32% year over year, owing to growth in gas utilities and downstream, industrial and energy transition (DIET) sectors.
Stocks to Consider
Here are some companies within the broader Industrial Products sector, which according to our model, have the right combination of elements to beat on earnings this reporting cycle.
DMC Global Inc. (BOOM - Free Report) has an Earnings ESP of + 7.86% and a Zacks Rank of 3 at present. The company is slated to release fourth-quarter 2022 results on Feb 23.
DMC Global’s earnings have surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 126%.
Emerson Electric Co. (EMR - Free Report) has an Earnings ESP of +0.57% and a Zacks Rank of 3. The company is scheduled to release first-quarter fiscal 2023 (ended Dec 31, 2022) earnings numbers on Feb 8.
Emerson’s earnings have surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average beat being 8.1%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.