Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

What's in the Cards for EOG Resources' (EOG) Q1 Earnings?

By Zacks Investment ResearchStock MarketsMay 02, 2021 10:59PM ET
www.investing.com/analysis/whats-in-the-cards-for-eog-resources-eog-q1-earnings-200577140
What's in the Cards for EOG Resources' (EOG) Q1 Earnings?
By Zacks Investment Research   |  May 02, 2021 10:59PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

EOG Resources (NYSE:EOG), Inc. EOG is scheduled to report first-quarter 2021 results on May 6, after the closing bell.

In the last reported quarter, the company reported adjusted earnings per share of 71 cents, beating the Zacks Consensus Estimate of 38 cents due to a decline in lease and well expenses, partially offset by lower oil equivalent production volumes.

EOG Resources beat estimates twice in the last four quarters and missed on the other two occasions, delivering an average earnings surprise of 41.7%, as shown in the chart below.

Let’s see how things have shaped up prior to the announcement.

Trend in Estimate Revision

The Zacks Consensus Estimate for the company’s first-quarter earnings per share of $1.50 has witnessed eight upward estimate revisions and one downward movement in the past 30 days. This estimate is indicative of an 172.7% increase from the year-ago reported figure.

The Zacks Consensus Estimate for its first-quarter revenues is pegged at $3.7 billion, suggesting a decrease of 22.4% from the year-ago reported figure.

Factors to Note

EOG Resources’ focus on exploration and production of oil and gas resources in the Permian, Bakken and Eagle Ford is expected to reflect on first-quarter results. However, economic slowdown caused by the coronavirus pandemic might have affected its production volumes.

The Zacks Consensus Estimate for average daily production volumes is pegged at 786 thousand barrels of oil equivalent per day (MBoe/d), indicating a significant decrease from the year-ago period’s 874.1 MBoe/d.

The Zacks Consensus Estimate for average crude oil and condensates price is pegged at $55 per barrel, which indicates a significant increase from the year-ago period’s $46.96. The same for first-quarter average natural gas liquids price is pegged at $25.14 per barrel, signaling an increase from the year-ago figure of $10.94. Also, the consensus estimate for average natural gas price is $5.15 per thousand cubic feet, indicating an increase from $1.67 in the year-ago quarter.

Although a rise in the commodities’ realized price levels might have led to a year-over-year increase in profits, the negative impacts of lower production volumes makes an earnings beat unpredictable.

Earnings Whispers

Our proven model does not conclusively predict an earnings beat for EOG Resources this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is not the case here as you will see below.

Earnings ESP: Earnings ESP for the company is -1.56%. This is because the Most Accurate Estimate of earnings of $1.48 per share is lower than the Zacks Consensus Estimate of $1.50. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: EOG Resources currently carries a Zacks Rank #2.

Energy Stocks With Favorable Combination

Here are some companies from the Energy space that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat in the upcoming quarterly reports:

NOW Inc. DNOW has an Earnings ESP of +39.13% and a Zacks Rank of 3. It is scheduled to report first-quarter results on May 5. You can see the complete list of today’s Zacks #1 Rank stocks here.

Pembina Pipeline (NYSE:PBA) Corporation PBA has an Earnings ESP of +2.22% and is a Zacks #3 Ranked player. The company is scheduled to release first-quarter results on May 6.

Cimarex Energy Co (NYSE:XEC). XEC has an Earnings ESP of +10.55% and a Zacks Rank of 3. It is scheduled to report first-quarter results on May 5.

Breakout Biotech Stocks with Triple-Digit Profit Potential

The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases.

Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of +50%, +83% and +164% in as little as 2 months. The stocks in this report could perform even better.

See these 7 breakthrough stocks now>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

EOG Resources, Inc. (EOG): Free Stock Analysis Report

Cimarex Energy Co (XEC): Free Stock Analysis Report

NOW Inc. (DNOW): Free Stock Analysis Report

Pembina Pipeline Corp. (PBA): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research
What's in the Cards for EOG Resources' (EOG) Q1 Earnings?
 

Related Articles

Gary S. Morrow
Walmart Reaching Fresh June Lows By Gary S. Morrow - Jun 16, 2021

Shares of Walmart (NYSE:WMT) have reached fresh June lows today. At midday the stock is off just over 1% as it begins to pierce a key trendline that links the March/May lows. This...

What's in the Cards for EOG Resources' (EOG) Q1 Earnings?

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email