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.
What Will Sitio Royalties' (STR) Q1 Earnings Unveil?
Read MoreHide Full Article
Sitio Royalties Corp. (STR - Free Report) is set to release first-quarter results on May 8. The current Zacks Consensus Estimate for the to-be-reported quarter is a profit of 21 cents per share on revenues of $140 million.
Let’s delve into the factors that might have influenced the energy royalty company’s results in the March quarter. But it’s worth taking a look at STR’s previous-quarter performance first.
Highlights of Q4 Earnings & Surprise History
In the last reported quarter, the Denver, CO-based holder of high-quality oil and gas mineral and royalty interests across premium basins beat the consensus mark on stronger-than-expected NGL production. STR had reported adjusted earnings of $1.12 per share, handsomely outperforming the Zacks Consensus Estimate of 16 cents. However, revenues of $149 million generated by the firm came in 4.7% below the Zacks Consensus Estimate due to lower natural gas prices.
Sitio Royalties beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, resulting in an earnings surprise of 155.6%, on average. This is depicted in the graph below:
The Zacks Consensus Estimate for the first-quarter bottom line has remained unchanged in the past seven days. The estimated figure indicates a 25% decline year over year. The Zacks Consensus Estimate for revenues, meanwhile, suggests a 7.2% decrease from the year-ago period.
Factors to Consider
Sitio Royalties is expected to have benefited from higher oil prices compared to the year-ago quarter. The Zacks Consensus Estimate for STR’s average realized oil price is pegged at $75 per barrel, which is more than the $74.10 realized in the first quarter of 2023. The uptrend is likely to have buoyed the company’s earnings and cash flows.
However, a decline in crude volume might have played spoilsport. Per the Zacks Consensus Estimate, the metric might have dropped 3.1% year over year in the first quarter to 1,539,372 barrels due to the effects of asset sale in the Appalachian and Anadarko Basins. Consequently, Sitio Royalties’ profit may have taken a hit in the January-March period.
What Does Our Model Say?
The proven Zacks model does not conclusively show that Sitio Royalties is likely to beat estimates in the first quarter of 2024. 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. But that’s not the case here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: Sitio Royalties has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 21 cents per share each.
Zacks Rank: STR currently carries a Zacks Rank #2, which increases the predictive power of ESP. However, the company’s 0.00% ESP makes surprise prediction difficult this earnings season.
Stocks to Consider
While an earnings beat looks uncertain for Sitio Royalties, here are some firms that you may want to consider on the basis of our model:
ANI Pharmaceuticals, Inc. (ANIP - Free Report) has an Earnings ESP of +9.74% and a Zacks Rank #2. The firm is scheduled to release earnings on May 10.
Over the past 90 days, the Zacks Consensus Estimate for ANI Pharmaceuticals’ 2024 earnings per share has moved up 9.4%. Valued at around $1.4 billion, ANIP has gone up 58.2% in a year.
HighPeak Energy (HPK - Free Report) has an Earnings ESP of +6.03% and a Zacks Rank #3. The firm is scheduled to release earnings on May 8.
Over the past 30 days, the Zacks Consensus Estimate for HighPeak Energy’s 2024 earnings per share has moved up 13.7%. Valued at around $1.8 billion, HPK has lost 13.3% in a year.
Enbridge Inc. (ENB - Free Report) has an Earnings ESP of +0.85% and a Zacks Rank #3. The firm is scheduled to release earnings on May 10.
The 2024 Zacks Consensus Estimate for Enbridge indicates 2.4% year-over-year earnings per share growth. Valued at around $77.3 billion, ENB has lost 8.4% in a year.
Image: Bigstock
What Will Sitio Royalties' (STR) Q1 Earnings Unveil?
Sitio Royalties Corp. (STR - Free Report) is set to release first-quarter results on May 8. The current Zacks Consensus Estimate for the to-be-reported quarter is a profit of 21 cents per share on revenues of $140 million.
Let’s delve into the factors that might have influenced the energy royalty company’s results in the March quarter. But it’s worth taking a look at STR’s previous-quarter performance first.
Highlights of Q4 Earnings & Surprise History
In the last reported quarter, the Denver, CO-based holder of high-quality oil and gas mineral and royalty interests across premium basins beat the consensus mark on stronger-than-expected NGL production. STR had reported adjusted earnings of $1.12 per share, handsomely outperforming the Zacks Consensus Estimate of 16 cents. However, revenues of $149 million generated by the firm came in 4.7% below the Zacks Consensus Estimate due to lower natural gas prices.
Sitio Royalties beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, resulting in an earnings surprise of 155.6%, on average. This is depicted in the graph below:
Sitio Royalties Corp. Price and EPS Surprise
Sitio Royalties Corp. price-eps-surprise | Sitio Royalties Corp. Quote
Trend in Estimate Revision
The Zacks Consensus Estimate for the first-quarter bottom line has remained unchanged in the past seven days. The estimated figure indicates a 25% decline year over year. The Zacks Consensus Estimate for revenues, meanwhile, suggests a 7.2% decrease from the year-ago period.
Factors to Consider
Sitio Royalties is expected to have benefited from higher oil prices compared to the year-ago quarter. The Zacks Consensus Estimate for STR’s average realized oil price is pegged at $75 per barrel, which is more than the $74.10 realized in the first quarter of 2023. The uptrend is likely to have buoyed the company’s earnings and cash flows.
However, a decline in crude volume might have played spoilsport. Per the Zacks Consensus Estimate, the metric might have dropped 3.1% year over year in the first quarter to 1,539,372 barrels due to the effects of asset sale in the Appalachian and Anadarko Basins. Consequently, Sitio Royalties’ profit may have taken a hit in the January-March period.
What Does Our Model Say?
The proven Zacks model does not conclusively show that Sitio Royalties is likely to beat estimates in the first quarter of 2024. 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. But that’s not the case here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: Sitio Royalties has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at 21 cents per share each.
Zacks Rank: STR currently carries a Zacks Rank #2, which increases the predictive power of ESP. However, the company’s 0.00% ESP makes surprise prediction difficult this earnings season.
Stocks to Consider
While an earnings beat looks uncertain for Sitio Royalties, here are some firms that you may want to consider on the basis of our model:
ANI Pharmaceuticals, Inc. (ANIP - Free Report) has an Earnings ESP of +9.74% and a Zacks Rank #2. The firm is scheduled to release earnings on May 10.
You can see the complete list of today’s Zacks #1 Rank stocks here.
Over the past 90 days, the Zacks Consensus Estimate for ANI Pharmaceuticals’ 2024 earnings per share has moved up 9.4%. Valued at around $1.4 billion, ANIP has gone up 58.2% in a year.
HighPeak Energy (HPK - Free Report) has an Earnings ESP of +6.03% and a Zacks Rank #3. The firm is scheduled to release earnings on May 8.
Over the past 30 days, the Zacks Consensus Estimate for HighPeak Energy’s 2024 earnings per share has moved up 13.7%. Valued at around $1.8 billion, HPK has lost 13.3% in a year.
Enbridge Inc. (ENB - Free Report) has an Earnings ESP of +0.85% and a Zacks Rank #3. The firm is scheduled to release earnings on May 10.
The 2024 Zacks Consensus Estimate for Enbridge indicates 2.4% year-over-year earnings per share growth. Valued at around $77.3 billion, ENB has lost 8.4% in a year.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.