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Pinnacle West (PNW) to Post Q1 Earnings: What's in Store?

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Pinnacle West Capital Corporation (PNW - Free Report) is scheduled to release first-quarter 2020 results on May 8, before the opening bell. The company delivered a positive earnings surprise of 21.28% in the last reported quarter.

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

Factors at Play

The COVID-19 outbreak has impacted the commercial and industrial sales. However, increase in residential sales is likely to have boosted the company’s first-quarter results.

Planned outage in Four Corners unit 5 in the first quarter is likely to have lower production in the reported quarter compared to last year.

Q1 Expectations

The Zacks Consensus Estimate for first-quarter 2020 sales is pegged at $748 million, which indicates a rise of 1.01% from the year-ago quarter’s reported figure. The Zacks Consensus Estimate for first-quarter earnings per share is pegged at 16 cents, which suggests no change from the year-ago quarter's reported figure.

 

What Our Quantitative Model Predicts

Our proven model doesn’t conclusively predict an earnings beat for Pinnacle West 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 an earnings beat. That is not the case here. You can see the complete list of today’s Zacks #1 Rank stocks here.

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: Currently, Pinnacle West carries a Zacks Rank #3.

Stocks to Consider

Investors can consider the following players from the same sector that have the right combination of elements to post an earnings beat in the to-be-reported quarter.

Spire Inc. (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 - Free Report) is scheduled to release first-quarter 2020 results on May 7. It has an Earnings ESP of +1.59% and a Zacks Rank #2.

Consolidated Edison Inc (ED - Free Report) is scheduled to release first-quarter results 2020 on May 7. It has an Earnings ESP of +0.35% and a Zacks Rank #3.

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