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Here's What to Expect From Icahn Enterprises (IEP) Q4 Earnings

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Icahn Enterprises (IEP - Free Report) is scheduled to release fourth-quarter 2022 results on Feb 24.

The Zacks Consensus Estimate for the company’s fourth-quarter earnings has remained steady in the past 60 days. The company has a dull earnings surprise history, having outperformed the Zacks Consensus Estimate in only one of the preceding four quarters, while missing in the other three.

Let’s see how things have shaped up for Icahn Enterprises this earnings season.

Icahn Enterprises L.P. Price and EPS Surprise

Icahn Enterprises L.P. Price and EPS Surprise

Icahn Enterprises L.P. price-eps-surprise | Icahn Enterprises L.P. Quote

Factors to Note

Icahn Enterprises’ fourth-quarter performance might have been affected by volatility in global demand for refined products, especially gasoline and diesel fuels. Commodity cost inflation due to escalating natural gas prices, thanks to the Russia-Ukraine war, is likely to have hurt the bottom line. Foreign currency headwinds within the Food Packaging business are likely to have impacted the top-line performance.

Weakness in the aftermarket parts business is likely to have dented revenues in the Automotive segment. The Pharma unit is expected to have reflected lower revenues due to volume softness.

Nevertheless, IEP’s performance is likely to have benefited from strength in the Energy segment owing to an increase in gasoline prices and favorable pricing conditions in the nitrogen fertilizer business.

Favorable price and product mix is expected to have aided the Food Packaging segment’s performance. Strong demand in the hospitality business due to an increase in leisure and business travel is expected to have boosted the Home Fashion segment’s performance.

What Does the Zacks Model Say?

Our proven model does not conclusively predict an earnings beat for Icahn Enterprises 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: Icahn Enterprises has an Earnings ESP of 0.00% as both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 15 cents. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Icahn Enterprises currently carries a Zacks Rank #3.

Highlights of Q3 Earnings

In the third quarter of 2022, Icahn Enterprises incurred a loss of 37 cents per share, wider than the Zacks Consensus Estimate of a loss of 22 cents. However, the amount of loss narrowed year over year. Total revenues of $3,404 million surpassed the Zacks Consensus Estimate of $3,059. The top line increased substantially year over year.

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 in this reporting cycle.

Allegion (ALLE - Free Report) has an Earnings ESP of +4.19% and a Zacks Rank #2. The company is scheduled to release fourth-quarter results on Feb 22.

The Zacks Consensus Estimate for Allegion’s fourth-quarter earnings has remained steady in the past 60 days. The company pulled off a trailing four-quarter earnings surprise of 8.8%, on average.

DMC Global (BOOM - Free Report) has an Earnings ESP of +7.86% and a Zacks Rank #3. The company is slated to release fourth-quarter results on Feb 23.

The Zacks Consensus Estimate for DMC Global’s fourth-quarter earnings has been revised northward by 15.4% in the past 60 days. The company delivered a trailing four-quarter earnings surprise of 126%, on average.

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


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