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UGI Corporation (UGI) to Post Q1 Earnings: What's in the Cards?

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UGI Corporation (UGI - Free Report) is scheduled to release first-quarter fiscal 2024 earnings on Jan 31, after market close. The company delivered a negative earnings surprise of 150% in the last quarter.

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Factors at Play

UGI Corporation’s first-quarter earnings are likely to have benefited from the improvement in demand, driven by the addition of customers, new gas base rates at its Pennsylvania gas utility and contributions from acquired assets.

Increasing operating expenses in the natural gas business may have a negative impact on UGI. Lower margins and volumes in UGI’s Global LPG business are also expected to offset some of the upsides.

Expectation

The Zacks Consensus for UGI Corporation’s earnings is pegged at $1.12 per share, implying a year-over-year decline of 1.75%.

The Zacks Consensus Estimate for first-quarter sales stands at $2.98 billion, suggesting an increase of 7.95% from the year-ago reported number.

What Our Quantitative Model Predicts

Our proven model does not conclusively predict an earnings beat for UGI Corporation this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, that is not the case here, as you will see below.

 

UGI Corporation Price and EPS Surprise

UGI Corporation Price and EPS Surprise

UGI Corporation price-eps-surprise | UGI Corporation Quote

Earnings ESP: UGI has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, UGI 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 that have the right combination of elements to beat on earnings in the upcoming releases.

CMS Energy (CMS - Free Report) is likely to pull off an earnings beat when it reports fourth-quarter 2023 earnings on Feb 1 before market open. It has an Earnings ESP of +0.67% and a Zacks Rank of 3 at present.

IDACORP (IDA - Free Report) is likely to come up with an earnings beat when it reports its fourth-quarter earnings soon. It has an Earnings ESP of +2.52% and presently carries a Zacks Rank of 2.

NiSource (NI - Free Report) is likely to come up with an earnings beat when it reports its fourth-quarter earnings soon. It has an Earnings ESP of +1.92% and carries a Zacks Rank of 2 at present.

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

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