Earnings Match Estimates
CenterPoint Energy (CNP) has reported quarterly earnings of $0.32 per share, aligning precisely with the Zacks Consensus Estimate. This marks an increase from the earnings of $0.28 per share reported a year ago, after adjusting for non-recurring items.
The company’s performance in the last quarter exceeded expectations, delivering a surprise of 8.11% by posting earnings of $0.40 per share, surpassing the estimated $0.37 per share.
Revenue and Stock Performance
However, the revenue figures for CenterPoint Energy fell short of expectations, with the company posting revenues of $2.18 billion for the quarter ended December 2023, missing the Zacks Consensus Estimate by 20.91%. This is a decrease from the year-ago revenues of $2.71 billion.
Despite meeting earnings estimates, CenterPoint shares have declined by about 2.4% since the beginning of the year, performing weaker than the S&P 500, which has gained 4.9% over the same period.
Future Outlook and Industry Impact
Considering the company’s future prospects, investors are keen to understand CenterPoint’s earnings outlook. The correlation between near-term stock movements and trends in earnings estimate revisions has been well-documented. The current mixed estimate revisions trend translates to a Zacks Rank #3 (Hold) for the stock, indicating an expected performance in line with the market in the near future.
The consensus EPS estimate for the coming quarter is $0.51 with revenues expected to be $2.8 billion. For the current fiscal year, the consensus EPS estimate stands at $1.63 on $9.44 billion in revenues. It’s noteworthy that industry outlook can significantly impact stock performance, and the Utility – Electric Power industry is currently ranked in the top 45% of Zacks industries.
Peer Performance
As for other companies in the same industry, Avangrid (AGR) is yet to report its quarterly results. The diversified energy and utility company is expected to present an increased quarterly earnings of $0.94 per share, representing a year-over-year change of +141%. However, the consensus EPS estimate has seen a 1.4% downward revision over the last 30 days to the current level.
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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.
