A month has gone by since the last earnings report for NiSource (NI Quick QuoteNI - Free Report) . Shares have added about 7.5% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is NiSource due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

NiSource's Earnings and Revenues Miss Estimates in Q1

NiSource delivered operating earnings of 76 cents per share in first-quarter 2020, which missed the Zacks Consensus Estimate of 80 cents by 5%. Earnings fell 7.3% from the year-ago quarter’s tally.

On a GAAP basis, the company reported earnings of 16 cents compared with 55 cents in the year-ago quarter.

Total Revenues

NiSource generated total net revenues of $1,631.8 million in the first quarter, which missed the Zacks Consensus Estimate of $1,953 million by 16.4%. Revenues declined 12.2% from $1,858.9 million reported in the year-ago quarter.

Highlights of the Release

Total operating expenses in the quarter under review fell 14.1% year over year to $1,169.1 million.

Total interest expenses in the reported quarter declined 2.8% from the prior-year quarter’s figure to $92.9 million.

The first quarter financial results of the company were minimally affected by COVID-19. However, it has lowered 2020 CapEx by $100 million.

Financial Update

NiSource's cash and cash equivalents as of Mar 31, 2020 were $203.8 million, up from $139.3 million as of Dec 31, 2019.

Long-term debts (excluding amounts due within a year) as of Mar 31 were $7,817.9 million compared with $ 7,856.2 million as of Dec 31, 2019.

Net cash provided from operating activities in the first quarter of 2020 was $369.9 million compared with $399.1 million activities in the first quarter of 2019.

How Have Estimates Been Moving Since Then?

Fresh estimates followed a downward path over the past two months.

VGM Scores

At this time, NiSource has an average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. However, the stock was allocated a grade of B on the value side, putting it in the top 40% for this investment strategy.

Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

NiSource has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.