We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
With crude oil and natural gas prices continuing to fluctuate, Wall Street is eyeing quarterly earnings to see which energy companies are reaching their expectations and maintaining their outlook.
Here are two top-rated Zacks Oils and Energy stocks that are standing out after surpassing their quarterly earnings expectations.
Starting out, Global Partners easily topped its first-quarter earnings expectations last Friday despite missing sales estimates. Global Partners currently sports a Zacks Rank #1 (Strong Buy) and its Oil and Gas-Refining and Marketing-Master Limited Partnerships Industry is in the top 16% over 250 Zacks industries.
Headquartered in Delaware, Global Partners is positioned well as the company has access to one of the largest terminal networks of refined petroleum products in New England.
Q1 Review: Global Partners beat Q1 EPS estimates by 7% with earnings at $0.70 per share. This was slightly down from earnings of $0.76 per share in Q1 2022.
Naturally, Global Partners’ earnings are expected to decline following a very tough-to-compete-against year with 2022 EPS at $10.02 per share. With that being said, earnings estimate revisions have soared since the company’s Q1 report.
Image Source: Zacks Investment Research
Fiscal 2023 earnings estimates have climbed 15% in the last week with FY24 EPS estimates soaring 20%. Earnings are now forecasted at $3.41 in FY23 and the positive trend in earnings estimate revisions could lead to more upside in Global Partners stock.
To that point, Global Partners stock trades at $30 a share and 10X forward earnings which is roughly on par with the industry average and nicely below the S&P 500’s 18.9X. Plus, shares of GLP trade 34% below their decade-long high of 15.4X and closer to the median of 7.2X with the rising EPS estimates offering further support.
RGC Resources is also standing out with a Zacks Rank #2 (Buy) after beating its fiscal second-quarter earnings expectations last Friday. RGC was able to impressively surpass top-line estimates as well.
With thousands of customers relying on RGC’s natural gas distribution in Virginia and West Virginia the company is starting to look like a very viable energy investment.
Q2 Review: RGC beat Q2 EPS estimates by 10% with earnings at $0.64 per share. More impressive, this was up 6% from the prior-year quarter and RGC blasted Q2 sales estimates by 19%.
Image Source: Zacks Investment Research
Furthermore, RGC’s quarterly results helped reaffirm the company’s sustainability and growth potential amid fluctuating natural gas prices. Trading at $18 a share, RGC’s earnings are now projected to dip -9% this year but rebound and soar 28% in FY24 at $1.17 per share. On the top line, sales are forecasted to be up 8% in FY23 and rise another 5% in FY24 to $96 million.
Image Source: Zacks Investment Research
Takeaway
Global Partners and RGC Resources stock look more attractive following their quarterly results as many energy companies are missing their earnings expectations. Despite the recent volatility in oil and natural gas prices, both companies appear to be sustaining well and may have more upside from their current levels.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
2 Energy Stocks to Consider Buying After Earnings
With crude oil and natural gas prices continuing to fluctuate, Wall Street is eyeing quarterly earnings to see which energy companies are reaching their expectations and maintaining their outlook.
Here are two top-rated Zacks Oils and Energy stocks that are standing out after surpassing their quarterly earnings expectations.
Global Partners (GLP - Free Report) )
Starting out, Global Partners easily topped its first-quarter earnings expectations last Friday despite missing sales estimates. Global Partners currently sports a Zacks Rank #1 (Strong Buy) and its Oil and Gas-Refining and Marketing-Master Limited Partnerships Industry is in the top 16% over 250 Zacks industries.
Headquartered in Delaware, Global Partners is positioned well as the company has access to one of the largest terminal networks of refined petroleum products in New England.
Q1 Review: Global Partners beat Q1 EPS estimates by 7% with earnings at $0.70 per share. This was slightly down from earnings of $0.76 per share in Q1 2022.
Naturally, Global Partners’ earnings are expected to decline following a very tough-to-compete-against year with 2022 EPS at $10.02 per share. With that being said, earnings estimate revisions have soared since the company’s Q1 report.
Image Source: Zacks Investment Research
Fiscal 2023 earnings estimates have climbed 15% in the last week with FY24 EPS estimates soaring 20%. Earnings are now forecasted at $3.41 in FY23 and the positive trend in earnings estimate revisions could lead to more upside in Global Partners stock.
To that point, Global Partners stock trades at $30 a share and 10X forward earnings which is roughly on par with the industry average and nicely below the S&P 500’s 18.9X. Plus, shares of GLP trade 34% below their decade-long high of 15.4X and closer to the median of 7.2X with the rising EPS estimates offering further support.
Image Source: Zacks Investment Research
RGC Resources (RGCO - Free Report) )
RGC Resources is also standing out with a Zacks Rank #2 (Buy) after beating its fiscal second-quarter earnings expectations last Friday. RGC was able to impressively surpass top-line estimates as well.
With thousands of customers relying on RGC’s natural gas distribution in Virginia and West Virginia the company is starting to look like a very viable energy investment.
Q2 Review: RGC beat Q2 EPS estimates by 10% with earnings at $0.64 per share. More impressive, this was up 6% from the prior-year quarter and RGC blasted Q2 sales estimates by 19%.
Image Source: Zacks Investment Research
Furthermore, RGC’s quarterly results helped reaffirm the company’s sustainability and growth potential amid fluctuating natural gas prices. Trading at $18 a share, RGC’s earnings are now projected to dip -9% this year but rebound and soar 28% in FY24 at $1.17 per share. On the top line, sales are forecasted to be up 8% in FY23 and rise another 5% in FY24 to $96 million.
Image Source: Zacks Investment Research
Takeaway
Global Partners and RGC Resources stock look more attractive following their quarterly results as many energy companies are missing their earnings expectations. Despite the recent volatility in oil and natural gas prices, both companies appear to be sustaining well and may have more upside from their current levels.