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What Awaits Edison International (EIX) in Q4 Earnings?

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Edison International (EIX - Free Report) is slated to report fourth-quarter and full-year 2023 results on Feb 22, after market close.

EIX has a trailing four-quarter average earnings surprise of 3.37%.

Factors to Note

In the to-be-reported quarter, EIX’s service territories witnessed a warmer-than-normal weather pattern accompanied by below normal precipitation.  Such a weather pattern is likely to have increased the demand for electricity for cooling purposes, positively impacting the company’s overall revenues.

Edison International Price and EPS Surprise

Edison International Price and EPS Surprise

Edison International price-eps-surprise | Edison International Quote

The Zacks Consensus Estimate for revenues is pegged at $4.19 billion, indicating an improvement of 4.3% year over year.

Higher interest expenses might have hurt EIX's bottom-line performance. However, strong rate base growth and ongoing wildfire mitigation efforts are likely to have boosted Edison International’s overall earnings in the fourth quarter.

The Zacks Consensus Estimate for fourth-quarter earnings is pegged at $1.22 per share, indicating an improvement of 7% from the prior-year quarter’s reported number.

What the Zacks Model Unveils

Our proven model does not conclusively predict an earnings beat for Edison International this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is not the case here.

Earnings ESP: The company’s Earnings ESP is -1.44%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: EIX currently carries a Zacks Rank #3.

Stocks to Consider

Here are other Utility players that have the right combination of elements to come up with an earnings beat this reporting cycle.

Southwest Gas (SWX - Free Report) has an Earnings ESP of +1.45% and a Zacks Rank #3 at present. The company delivered a four-quarter average earnings surprise of 104%. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for SWX’s fourth-quarter sales is pegged at $1.27 billion. The consensus mark for earnings is pegged at 92 cents per share.

Sempra Energy (SRE - Free Report) has an Earnings ESP of +1.18% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for fourth-quarter sales is pegged at $4.03 billion, implying a 16.7% increase from that reported in the prior-year quarter.

The consensus mark for SRE’s earnings is pinned at $1.13 per share. The company delivered a four-quarter average earnings surprise of 9.03%.

ONE Gas (OGS - Free Report) has an Earnings ESP of +0.26% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for fourth-quarter earnings is pinned at $1.27 per share, indicating a 3.3% increase year over year.

The consensus mark for OGS’ sales stands at $815.6 million. The company delivered a four-quarter average earnings surprise of 1.85%.

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

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