American States Water Company ( AWR Quick Quote AWR - Free Report) is set to release first-quarter 2020 results on May 4, after market close. In the last reported quarter, the company delivered a positive earnings surprise of 9.76%. Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results. Factors to Note Already-approved water rate cases for 2019-2021 time period and electric rate cases for 2018-2022 are like to have had a positive impact on the company’s first-quarter earnings. The company continues to serve its customers with excellent water, electric and wastewater services despite the COVID-19 crisis. Also, the coronavirus pandemic is likely to have had a lesser impact on the company’s performance in the to-be-reported quarter. ASUS, a subsidiary of AWR, provides operations, maintenance and construction management services for water distribution as well as wastewater collection and treatment facilities to 11 military bases. This ensures stable earnings for the company. The same is anticipated to have positively impacted its first-quarter earnings.
Q1 Expectations The Zacks Consensus Estimate for first-quarter 2020 sales is pegged at $106 million, which indicates an increase of 4.20% from the year-ago quarter’s figure. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at 40 cents per share, which indicates an increase of 14.29% from the year-ago quarter’s figure. What the Zacks Model Unveils Our proven model does not predict an earnings beat for American States Water this time around. A stock needs to have a positive Earnings ESP (which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate) and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to surpass estimates. That is not the case here as you will see below. Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: American States Water currently has a Zacks Rank #2.You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here. Stocks to Consider Here are some companies worth considering from the same sector that have the right combination of elements to beat on earnings in the upcoming releases. Spire Inc. ( SR Quick Quote SR - Free Report) is set to release first-quarter 2020 numbers on May 8. It has an Earnings ESP of +0.17% and carries a Zacks Rank #3. Algonquin Power & Utilities Corp. ( AQN Quick Quote AQN - Free Report) is scheduled to release first-quarter results on May 7. It has an Earnings ESP of +1.42% and a Zacks Rank #2. Consolidated Edison Inc ( ED Quick Quote ED - Free Report) is scheduled to release first-quarter results on May 7. It has an Earnings ESP of +0.69% and a Zacks Rank #3 Today's Best Stocks from Zacks Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2019, while the S&P 500 gained and impressive +53.6%, five of our strategies returned +65.8%, +97.1%, +118.0%, +175.7% and even +186.7%. This outperformance has not just been a recent phenomenon. From 2000 – 2019, while the S&P averaged +6.0% per year, our top strategies averaged up to +54.7% per year. See their latest picks free >>