ONE Gas OGS is set to release its fourth-quarter 2023 financial results on Feb 21 after the market closes. Last quarter, the company surprised investors with a 7.14% positive earnings outcome.
Let’s delve into the potential drivers that may shape the upcoming quarterly results.
Factors Impacting Q4 Earnings
ONE Gas’ earnings for the fourth quarter are expected to benefit from increased customer additions and the adoption of new rates in its service areas. These positive influences, however, may be tempered by rising operating costs and persistently high interest expenses.
Projected Performance
The Zacks Consensus Estimate for ONE Gas’ earnings stands at $1.27 per share, indicating a 3.25% year-over-year growth. Meanwhile, the Zacks Consensus Estimate for fourth-quarter sales is projected to be $815.61 million, reflecting a 0.32% decrease from the prior year’s figure.
What Our Quantitative Model Reveals
Our reliable model foresees an earnings beat for ONE Gas this time. The combination of a favorable Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) enhances the likelihood of an earnings beat — a scenario that seems to be the case here.
Other Stocks to Watch
Investors eyeing the same sector may find opportunities beyond ONE Gas. Sempra Energy (SRE), Dominion Energy (D), and Southwest Gas (SWX) have also shown potential to deliver positive earnings surprises in their upcoming releases.
Keep track of the forthcoming earnings announcements with the Zacks Earnings Calendar.
