NRG Energy, Inc. NRG is scheduled to release third-quarter 2020 results on Nov 5, before the market opens. The company witnessed a negative earnings surprise of 16.99% in the last reported quarter.
Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.
Factors to Consider
Strong demand from the residential customers and a gradual improvement in demand from the Commercial and Industrial (C&I) group with the relaxation of restrictions are likely to drive third-quarter results. The company repurchased shares worth $228 million through Aug 6, 2020. Lower outstanding shares are expected to have positively impacted earnings in the third quarter.
The Zacks Consensus Estimate for third-quarter earnings per share is pegged at $1.01, indicating a 46.28% decrease from the year-ago period’s reported figure.
NRG Energy, Inc. Price and EPS Surprise
NRG Energy, Inc. price-eps-surprise | NRG Energy, Inc. Quote
What Our Quantitative Model Suggests
Our proven model doesn’t conclusively predict an earnings beat for NRG Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that is not the case here as you will see below. You can see the complete list of today’s Zacks #1 Rank stocks here.
Earnings ESP: NRG Energy has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Currently, NRG Energy carries a Zacks Rank #3.
Stocks to Consider
Here are some players from the Utilities sector that have the right combination of elements to beat on earnings in the to-be-reported quarter.
Pinnacle West Capital PNW is expected to release third-quarter numbers on Oct 30. It has an Earnings ESP of +0.98% and a Zacks Rank of 3, currently.
NiSource Inc. NI is set to release third-quarter 2020 numbers on Nov 2. It has an Earnings ESP of +150.00% and is currently Zacks #3 Ranked.
SJW Group SJW is set to release third-quarter 2020 results on Nov 4. It has an Earnings ESP of +2.15% and a Zacks Rank of 3 at present.
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