AVANGRID, Inc. AGR is all set to release its fourth-quarter 2023 results on Feb 21, after the market closes. The company had experienced a disappointing negative earnings surprise of 35.7% in the last reported quarter.
Let’s delve into the factors that are likely to be reflected in the upcoming quarterly results.
Key Considerations
In the third quarter, AVANGRID achieved a significant milestone with 8.6-gigawatt wind and solar capacity, sufficient to power over 2.8 million homes. This noteworthy accomplishment is anticipated to have made a notable contribution to the company’s fourth-quarter earnings.
Approval of AGR’s new rate case is also expected to cast a positive influence on its overall performance in the fourth quarter.
AVANGRID’s fourth-quarter results are likely to benefit from increased production and reduced operation and maintenance costs.
Expectations for Q4
The Zacks Consensus Estimate for earnings stands at 94 cents per share, signifying a striking year-over-year surge of 141%.
The Zacks Consensus Estimate for revenues is fixed at $2.42 billion, indicating a year-over-year advancement of 12%.
Quantitative Model Predictions
Our tried-and-true model does not conclusively predict an earnings beat for AVANGRID this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) usually heightens the odds of an earnings beat. Unfortunately, that’s not the case here.
Performance Snapshot
Last quarter, AVANGRID reported fourth-quarter 2023 adjusted earnings of 95 cents per share, falling short of the Zacks Consensus Estimate of 97 cents by 2.1%.
AVANGRID’s long-term earnings growth rate is 4.16%. It registered an average earnings surprise of 2.1% in the last four quarters.
Upcoming Releases
Here are a few key players from the same sector likely to surpass expectations this reporting cycle.
Dominion Energy D is expected to outperform when it announces fourth-quarter results on Feb 22, before the market opens. It currently holds an Earnings ESP of +0.63% and a Zacks Rank #3.
Dominion Energy’s long-term earnings growth rate stands at 7.9%, with the Zacks Consensus Estimate for earnings at 40 cents per share.
Sempra Energy SRE is also poised to deliver an earnings beat as it reports fourth-quarter results on Feb 27, before the market opens. It currently has an Earnings ESP of +1.18% and a Zacks Rank #3.
Sempra Energy has a long-term earnings growth rate of 4.95% and has delivered an average earnings surprise of 9% in the last four quarters.
Keep track of upcoming earnings announcements through the Zacks Earnings Calendar.
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The views expressed herein are the views of the author and do not necessarily reflect those of Nasdaq, Inc.
