We expect Eversource Energy (ES - Free Report) to beat third-quarter 2019 estimates when it reports financial results on Nov 6, before the opening bell. The utility delivered a positive earnings surprise of 1.37% in the last reported quarter.
What Our Quantitative Model Predicts
Our proven model does conclusively predict an earnings beat for Eversource this season. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to surpass estimates. That is the case here as you will see below.
Earnings ESP: The firm’s Earnings ESP is +1.06%.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Eversource currently carries a Zacks Rank #2.
Factors to Consider
Eversource’s third-quarter earnings are expected to have benefited from New Hampshire’s temporary distribution rate increase that came into effect during the third quarter. Earnings are also anticipated to get a boost from the water distribution segment and cost-saving initiatives undertaken by the company. However, the Yankee Gas settlement is likely to have had a negative impact of 2 cents on third-quarter earnings.
The Zacks Consensus Estimate for third-quarter revenues and earnings per share is pegged at $2.32 billion and 94 cents, indicating 2.04% and 1.08% growth, respectively, from the year-ago reported figures.
Stocks to Consider
Here are a few companies worth considering from the same industry, as these have the right combination of elements to beat on earnings in the upcoming releases.
PPL Corporation (PPL - Free Report) is expected to release third-quarter results on Nov 5. It has an Earnings ESP of +1.37% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
South Jersey Industries Inc. (SJI - Free Report) is expected to release third-quarter results on Nov 6. It has an Earnings ESP of +15.85% and a Zacks Rank #3.
Spire Inc. (SR - Free Report) is scheduled to release fourth-quarter fiscal 2019 results on Nov 20. It has an Earnings ESP of +2.55% and a Zacks Rank of 2.
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