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Shell to Report Q3 Earnings: What's in Store for the Stock?
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Key Takeaways
Shell is set to report Q3 results on Oct. 29, with EPS estimates of $3.54 on $95.2B in revenues.
SHEL's refining margin rose to $42 per barrel, while gas production is projected at 740,000-780,000 boe/d.
Weaker chemical margins, higher taxes and $300M in exploration write-offs could weigh on Shell's Q3 results.
Shell plc (SHEL - Free Report) is set to release third-quarter 2026 results on Oct. 29. The Zacks Consensus Estimate for earnings for the to-be-reported quarter is pegged at $3.54 per share on revenues of $95.2 billion.
Let’s delve into the factors that might have influenced the integrated energy behemoth’s results in the September quarter. But it’s worth taking a look at SHEL’s previous-quarter performance first.
Highlights of SHEL’s Q2 Earnings & Surprise History
In the last reported quarter, Europe’s largest oil company beat the consensus mark, reflecting strong operational performance across all its segments, driven by higher realized prices and higher margins. SHEL reported earnings per ADS (on a current cost of supplies basis, excluding items — the market’s preferred measure) of $3.52, beating the Zacks Consensus Estimate of $3.23. However, revenues of $96.4 billion missed the Zacks Consensus Estimate by 4.2%.
Shell 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 10.3%, on average. This is depicted in the graph below:
The Zacks Consensus Estimate for the third-quarter bottom line has remained unchanged in the past seven days. The estimated figure indicates 90.3% growth year over year. The Zacks Consensus Estimate for revenues also suggests a 35.2% increase from the year-ago period.
Factors to Consider Ahead of SHEL’s Q3 Results
Shell recently issued an updated outlook for the third quarter of 2026, signaling stronger activity across its Integrated Gas business. The company could deliver an earnings beat in the quarter under review, supported by stronger refining economics and higher gas production. Its indicative refining margin climbed to $42 per barrel from $24 in the preceding quarter, potentially boosting Chemicals and Products profitability.
Integrated Gas production is projected at 740,000-780,000 barrels of oil equivalent per day, up from 631,000, aided by the ARC Resources acquisition completed in September. Marketing sales volumes could reach 2.55-2.65 million barrels per day, while Renewables and Energy Solutions adjusted earnings are forecast at up to $400 million. Continued cost discipline, asset optimization and steady trading performance could provide further support to the to-be-reported earnings.
On the bearish side, Shell faces earnings-miss risks from weaker chemical margins, projected at $208 per tonne versus $270 in the preceding quarter. Refinery utilization is expected to fall to 93%-97%, while Marketing earnings may decline. Higher Chemicals and Products taxation, around $300 million in exploration write-offs and increased Integrated Gas operating costs could further weigh on results.
What Does Our Model Say About SHEL?
Our proven Zacks model predicts an earnings beat for Shell this time around. 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. That’s exactly the case here.
Earnings ESP of SHEL: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is +0.57%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
SHEL’s Zacks Rank: SHEL currently sports a Zacks Rank #1.
Other Stocks to Consider
Here are some other firms from the energy space that you may want to consider, as these, too, have the right combination of elements to post an earnings beat this season.
Notably, the Zacks Consensus Estimate for BP’s 2026 earnings per share indicates 180.6% year-over-year growth. Valued at around $134.4 billion, BP has gained 47.6% in a year.
Chevron Corporation (CVX - Free Report) currently has an Earnings ESP of +2.69% and a Zacks Rank #1. The firm is scheduled to release earnings on Oct. 30.
Chevron beat the Zacks Consensus Estimate for earnings in each of the last four, with the average being 18.7%. Valued at around $460.8 billion, Chevron has jumped 50.2% in a year.
ExxonMobil Holdings Corporation (XOM - Free Report) currently has an Earnings ESP of +6.03% and a Zacks Rank #1. The firm is scheduled to release earnings on Oct. 30.
ExxonMobil beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, with the average being 2.4%. Valued at around $759.4 billion, ExxonMobil has rallied 58% in a year.
View the Zacks #1 Rank List
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Shell to Report Q3 Earnings: What's in Store for the Stock?
Key Takeaways
Shell plc (SHEL - Free Report) is set to release third-quarter 2026 results on Oct. 29. The Zacks Consensus Estimate for earnings for the to-be-reported quarter is pegged at $3.54 per share on revenues of $95.2 billion.
Let’s delve into the factors that might have influenced the integrated energy behemoth’s results in the September quarter. But it’s worth taking a look at SHEL’s previous-quarter performance first.
Highlights of SHEL’s Q2 Earnings & Surprise History
In the last reported quarter, Europe’s largest oil company beat the consensus mark, reflecting strong operational performance across all its segments, driven by higher realized prices and higher margins. SHEL reported earnings per ADS (on a current cost of supplies basis, excluding items — the market’s preferred measure) of $3.52, beating the Zacks Consensus Estimate of $3.23. However, revenues of $96.4 billion missed the Zacks Consensus Estimate by 4.2%.
Shell 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 10.3%, on average. This is depicted in the graph below:
Shell PLC Unsponsored ADR Price and EPS Surprise
Shell PLC Unsponsored ADR price-eps-surprise | Shell PLC Unsponsored ADR Quote
Trend in Estimate Revision
The Zacks Consensus Estimate for the third-quarter bottom line has remained unchanged in the past seven days. The estimated figure indicates 90.3% growth year over year. The Zacks Consensus Estimate for revenues also suggests a 35.2% increase from the year-ago period.
Factors to Consider Ahead of SHEL’s Q3 Results
Shell recently issued an updated outlook for the third quarter of 2026, signaling stronger activity across its Integrated Gas business. The company could deliver an earnings beat in the quarter under review, supported by stronger refining economics and higher gas production. Its indicative refining margin climbed to $42 per barrel from $24 in the preceding quarter, potentially boosting Chemicals and Products profitability.
Integrated Gas production is projected at 740,000-780,000 barrels of oil equivalent per day, up from 631,000, aided by the ARC Resources acquisition completed in September. Marketing sales volumes could reach 2.55-2.65 million barrels per day, while Renewables and Energy Solutions adjusted earnings are forecast at up to $400 million. Continued cost discipline, asset optimization and steady trading performance could provide further support to the to-be-reported earnings.
On the bearish side, Shell faces earnings-miss risks from weaker chemical margins, projected at $208 per tonne versus $270 in the preceding quarter. Refinery utilization is expected to fall to 93%-97%, while Marketing earnings may decline. Higher Chemicals and Products taxation, around $300 million in exploration write-offs and increased Integrated Gas operating costs could further weigh on results.
What Does Our Model Say About SHEL?
Our proven Zacks model predicts an earnings beat for Shell this time around. 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. That’s exactly the case here.
Earnings ESP of SHEL: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is +0.57%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
SHEL’s Zacks Rank: SHEL currently sports a Zacks Rank #1.
Other Stocks to Consider
Here are some other firms from the energy space that you may want to consider, as these, too, have the right combination of elements to post an earnings beat this season.
BP p.l.c. (BP - Free Report) currently has an Earnings ESP of +7.13% and a Zacks Rank #1. The firm is scheduled to release earnings on Oct. 30.You can see the complete list of today’s Zacks #1 Rank stocks here.
Notably, the Zacks Consensus Estimate for BP’s 2026 earnings per share indicates 180.6% year-over-year growth. Valued at around $134.4 billion, BP has gained 47.6% in a year.
Chevron Corporation (CVX - Free Report) currently has an Earnings ESP of +2.69% and a Zacks Rank #1. The firm is scheduled to release earnings on Oct. 30.
Chevron beat the Zacks Consensus Estimate for earnings in each of the last four, with the average being 18.7%. Valued at around $460.8 billion, Chevron has jumped 50.2% in a year.
ExxonMobil Holdings Corporation (XOM - Free Report) currently has an Earnings ESP of +6.03% and a Zacks Rank #1. The firm is scheduled to release earnings on Oct. 30.
ExxonMobil beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, with the average being 2.4%. Valued at around $759.4 billion, ExxonMobil has rallied 58% in a year.