WEC Energy Group WEC is slated to report fourth-quarter 2017 results before the market opens on Jan 31. In the third quarter, the company reported a positive earnings surprise of 1.49%. Let’s see how things are shaping up for this earnings season.
Factors to Consider
WEC Energy expects its earnings in 2017 to be in the range of $3.06-$3.12 per share. The company is expected to benefit from its cost-control initiatives and efficient use of resources.
More than 99% of its earnings come from regulated operations, which provide excellent visibility on its future performance. Economic growth in its service territories and systematic investment in regulated operation are expected to boost the bottom line. WEC Energy continues to add customers, which is expected to have a positive impact on demand and earnings.
Earnings Whispers
Our proven model does not conclusively show that WEC Energy is likely to beat earnings this quarter as it does not possess the key components. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. However, that is not the case here as you will see below.
Zacks ESP: The company’s Earnings ESP is -0.50%.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: WEC Energy’s Zacks Rank #3, when combined with a negative Earnings ESP makes a beat unlikely this quarter.
Note that we caution against stocks with a Zacks Rank #4 or 5 (Sell-rated) going into the earnings announcement, especially when the company is seeing a negative estimate revisions momentum.
WEC Energy Group, Inc. Price and EPS Surprise
WEC Energy Group, Inc. Price and EPS Surprise | WEC Energy Group, Inc. Quote
Stocks to Consider
Here are some companies from the industry that you may want to consider instead, as our model shows that these have the right combination of elements to post an earnings beat this quarter.
Exelon Corporation EXC is expected to release fourth-quarter 2017 results on Feb 7. The company has an Earnings ESP of +1.32% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
CenterPoint Energy Inc. CNP has an Earnings ESP of +3.75% and a Zacks Rank #2. The company is expected to release fourth-quarter 2017 results on Feb 22.
Westar Energy Inc. WR has an Earnings ESP of +5.88% and a Zacks Rank #2. The company is expected to release fourth-quarter 2017 results on Feb 28.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
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
Be the first to comment