Helix Energy Reports Earnings Miss Amidst Market Challenges
What the Latest Earnings Reveal
Helix Energy (HLX) reported quarterly earnings of $0.19 per share, falling short of the Zacks Consensus Estimate of $0.21 per share. Last year’s earnings for the same period were also $0.19 per share. These figures exclude non-recurring items.
This quarterly report shows an earnings surprise of -9.52%. In the previous quarter, Helix Energy was forecasted to earn $0.18 per share but exceeded expectations with earnings of $0.21, leading to a surprise of 16.67%.
In the past four quarters, the company has outperformed consensus EPS estimates only once.
Belonging to the Zacks Oil and Gas – Field Services industry, Helix reported revenues of $342.42 million for the quarter ending September 2024, which was 3.47% below the Zacks Consensus Estimate. This is a decrease from last year’s revenues of $395.67 million. Over the last four quarters, the company has met consensus revenue estimates two times.
The future movement of Helix Energy’s stock will largely depend on management’s commentary during the earnings call and the company’s guidance moving forward.
Since the beginning of the year, Helix Energy shares have dropped approximately 5.5%, contrasting with the S&P 500’s gain of 22.7%.
What’s Next for Helix Energy?
Despite a rocky start in 2024, investors are left wondering about the future trajectory of Helix Energy’s stock.
There is no clear answer to this question, but assessing the company’s earnings outlook can provide guidance. This includes current expectations for upcoming quarters and any changes to these forecasts.
Research indicates a strong link between short-term stock performance and trends in earnings estimate revisions. Investors can track these revisions independently or utilize the Zacks Rank, a tool known for effectively leveraging earnings estimate changes.
Before this earnings release, the estimate revisions for Helix Energy were mixed. Although the specifics may shift after the latest report, the current situation results in a Zacks Rank of #3 (Hold) for the stock, suggesting it will likely perform in line with the market in the near term.
The consensus EPS estimate stands at $0.04 for the next quarter, with anticipated revenues of $303.11 million. For the current fiscal year, the estimate is $0.29 on $1.32 billion in revenues.
It’s important to remember that industry outlook can significantly influence individual stock performance. The Zacks Industry Rank places Oil and Gas – Field Services in the bottom 41% of over 250 Zacks industries, indicating that stocks in the top half tend to outperform those at the bottom by more than a two-to-one ratio.
In the same industry, Nine Energy Service (NINE) has yet to report results for the quarter ending September 2024, with results expected on November 1.
This company is projected to report a quarterly loss of $0.30 per share, marking a year-over-year change of +23.1%. The consensus EPS estimate has remained steady over the last 30 days, while revenues are anticipated to be $133.2 million, a decline of 5.3% compared to the previous year.
Should You Invest in Helix Energy Solutions Group, Inc. (HLX)?
Before considering an investment in Helix Energy Solutions Group, Inc. (HLX), those curious about promising stocks for the month ahead may want to check out Zacks Investment Research for a report on the top seven stocks to buy.
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Helix Energy Solutions Group, Inc. (HLX): Free Stock Analysis Report
Nine Energy Service, Inc. (NINE): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
