A couple of mining companies are slated to report their quarterly numbers on May 1. The first-quarter earnings season is gathering momentum with earnings and revenue figures released so far clearly showing an improvement over the last few quarters.
Based on the Earnings Outlook as of Apr 26, total earnings for the 181 S&P 500 members that have reported results across all sectors (accounting for 40% of the index’s total market capitalization) are up 10% from the year-ago period while revenues having increased 4.3%. Per the report, 75.7% of the companies posted an earnings beat, while 64.1% surpassed revenue estimates.
As per the Zacks Industry classification, the mining industry is grouped under the broader Basic Materials sector. As of Apr 26, 40% of the sector participants on the S&P 500 index have reported their quarterly numbers. Earnings for these companies increased a solid 47.7% from the same period last year while sales dipped 1.4%.
Basic Materials is one of the four sectors that are projected to witness double-digit earnings growth in the first quarter. Overall earnings for the sector are projected to rise 15.4% while revenues are expected to increase 2.2%.
The mining industry regained its ground last year after a harrowing 2015 that bore the brunt of a crash in commodity prices. The turnaround can primarily be attributed to the commodity’s upturn that helped investors renew their interest in the industry.
Let’s peek into two mining companies that are slated to report first-quarter results on May 1.
Southern Copper Corporation (NYSE:SCCO) is expected to come up with a positive earnings surprise as it carries a favorable Zacks Rank # 3 (Hold) and an Earnings ESP of +2.38%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
The company beat the Zacks Consensus Estimate in two of the trailing four quarters, delivering an average positive surprise of 10.13%.
Southern Copper Corporation Price and EPS Surprise
Southern Copper Corporation Price and EPS Surprise | Southern Copper Corporation Quote
Hi-Crush Partners LP (NYSE:HCLP) will report earnings numbers after the bell. Our proven model shows that the company is likely to beat on earnings because it has an Earnings ESP of +100% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Hi-Crush Partners has a negative record with respect to earnings surprise in recent quarters. The company missed the Zacks Consensus Estimate in each of the trailing four quarters, ending up with an average negative surprise of 65.59%.
Hi-Crush Partners LP Price and EPS Surprise
Hi-Crush Partners LP Price and EPS Surprise | Hi-Crush Partners LP Quote
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Hi-Crush Partners LP (HCLP): Free Stock Analysis Report
Southern Copper Corporation (SCCO): Free Stock Analysis Report
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