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Surging Earnings Estimates Signal Good News for SemGroup (SEMG)
October 03, 2016


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SemGroup Corporation (SEMG - Snapshot Report) is a midstream company with a diversified portfolio of energy assets, which could be an interesting play for investors. That is because, not only does the stock have decent short-term momentum, but it is seeing solid activity on the earnings estimate revision front as well.

These positive earnings estimate revisions suggest that analysts are becoming more optimistic on SEMG’s earnings for the coming quarter and year. In fact, consensus estimates have moved sharply higher for both of these time frames over the past four weeks, suggesting that SemGroup could be a solid choice for investors.

Current Quarter Estimates for SEMG

In the past 30 days, 1 estimate has gone higher for SemGroup while none have gone lower in the same time period. The trend has been pretty favorable too, with estimates increasing from 6 cents a share 30 days ago, to 9 today, a move of 50%.

Current Year Estimates for SEMG

Meanwhile, SemGroup’s current year figures are also looking quite promising, with 1 estimate moving higher in the past month, compared to none lower. The consensus estimate trend has also seen a boost for this time frame, narrowing from a loss of 13 cents per share 30 days ago to a loss of 3 cents per share today, a move of 76.9%.

SEMGROUP CORP-A Price and Consensus

SEMGROUP CORP-A Price and Consensus | SEMGROUP CORP-A Quote

Bottom Line

The stock has also started to move higher lately, adding 15.4% over the past four weeks, suggesting that investors are starting to take note of this impressive story. So investors may definitely want to consider this Zacks Rank #3 (Hold) stock to profit in the near future. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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