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Eversource Energy to Post Q3 Earnings: Here's What to Expect

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Eversource Energy (ES - Free Report) is scheduled to release third-quarter 2024 results on Nov. 4, after market close. The company’s earnings were in line with estimates in the last reported quarter.

Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.

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

Key Factors That Might Have Impacted ES' Q3 Performance

The bottom line is expected to have benefited from the completed sale of its 50% ownership share in the 924-megawatt Sunrise Wind project to Ørsted, in July 2024. The company is committed to exiting the offshore wind business and focusing its resources on being a pure play regulated utility with tremendous low-risk regulated growth opportunities to enable the clean energy transition for customers.

Electric distribution earnings are expected to have been higher in the third quarter, driven by capital cost recovery and New Hampshire's $61 million interim rate increase effective Aug. 1, 2024.

The bottom line is also expected to have gained from increased investments, which should have enhanced service reliability. Lower operation and maintenance expenses and lower effective tax rates are likely to have had a positive impact on quarterly earnings.

However, higher depreciation and property taxes from increased investments are anticipated to have negatively impacted the company’s overall quarterly performance.

Q3 Expectations

The Zacks Consensus Estimate for earnings is pegged at $1.04 per share, indicating a year-over-year increase of 7.2%.

The Zacks Consensus Estimate for revenues is pinned at $3.05 billion, implying a year-over-year improvement of 9.3%.

What Our Quantitative Model Predicts

Our proven model predicts an earnings beat for Eversource Energy this time around. 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, which is the case here, as you will see below.

Earnings ESP: The company’s Earnings ESP is +7.05%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
 

Eversource Energy Price and EPS Surprise

Eversource Energy Price and EPS Surprise

Eversource Energy price-eps-surprise | Eversource Energy Quote

Zacks Rank: Currently, Eversource Energy carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks to Consider

Investors may also consider the following players from the same industry as these too have the right combination of elements to post an earnings beat this reporting cycle.

American Electric Power (AEP - Free Report) is likely to come up with an earnings beat when it reports third-quarter results on Nov. 6. It has an Earnings ESP of +0.94% and a Zacks Rank #3 at present.

AEP’s long-term (three to five years) earnings growth rate is 6.24%. The Zacks Consensus Estimate for earnings is pinned at $1.78 per share, which implies a year-over-year increase of 0.6%.

Pinnacle West Capital (PNW - Free Report) is likely to come up with an earnings beat when it reports third-quarter results on Nov. 6. It has an Earnings ESP of +5.49% and a Zacks Rank #3 at present.

The Zacks Consensus Estimate for earnings is pinned at $3.33 per share. The Zacks Consensus Estimate for sales is pegged at $1.68 billion, which implies a year-over-year increase of 2.4%.

Pampa Energia S.A. (PAM - Free Report) is likely to come up with an earnings beat when it reports third-quarter results on Nov. 6. It has an Earnings ESP of +18.36% and a Zacks Rank #3 at present.

The Zacks Consensus Estimate for earnings has moved up 52.5% in the past 90 days. The Zacks Consensus Estimate for sales is pegged at $546.05 million, which implies a year-over-year increase of 15.2%.

 

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