Methanex (MEOH) got here out with quarterly earnings of $1.24 per share, beating the Zacks Consensus Estimate of $1.01 per share. This compares to earnings of $0.52 per share a 12 months in the past. These figures are adjusted for non-recurring gadgets.
This quarterly report represents an earnings shock of twenty-two.77%. 1 / 4 in the past, it was anticipated that this methanol provider would publish earnings of $0.44 per share when it truly produced earnings of $1.21, delivering a shock of 175%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates 4 instances.
Methanex
The sustainability of the inventory’s quick value motion based mostly on the recently-released numbers and future earnings expectations will largely depend upon administration’s commentary on the earnings name.
Methanex shares have misplaced about 1.8% because the starting of the 12 months versus the S&P 500’s acquire of three.2%.
What’s Subsequent for Methanex?
Whereas Methanex has underperformed the market up to now this 12 months, the query that involves buyers’ minds is: what’s subsequent for the inventory?
There aren’t any straightforward solutions to this key query, however one dependable measure that may assist buyers tackle that is the corporate’s earnings outlook. Not solely does this embrace present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified these days.
Empirical analysis exhibits a powerful correlation between near-term inventory actions and tendencies in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested score software just like the Zacks Rank, which has a powerful observe report of harnessing the facility of earnings estimate revisions.
Forward of this earnings release, the estimate revisions pattern for Methanex: favorable. Whereas the magnitude and course of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #2 (Purchase) for the inventory. So, the shares are anticipated to outperform the market within the close to future. You possibly can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
It will likely be fascinating to see how estimates for the approaching quarters and present fiscal 12 months change within the days forward. The present consensus EPS estimate is $1.11 on $1.02 billion in revenues for the approaching quarter and $4.02 on $4.43 billion in revenues for the present fiscal 12 months.
Traders ought to be conscious of the truth that the outlook for the trade can have a fabric affect on the efficiency of the inventory as nicely. When it comes to the Zacks Trade Rank, Chemical – Diversified is at the moment within the backside 8% of the 250 plus Zacks industries. Our analysis exhibits that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
One different inventory from the identical trade, LyondellBasell (LYB), is but to report outcomes for the quarter ended December 2024. The outcomes are anticipated to be launched on January 31.
This oil refiner and chemical firm is predicted to publish quarterly earnings of $0.75 per share in its upcoming report, which represents a year-over-year change of -40.5%. The consensus EPS estimate for the quarter has been revised 14% decrease during the last 30 days to the present stage.
LyondellBasell’s revenues are anticipated to be $9.36 billion, down 5.7% from the year-ago quarter.
Ought to You Put money into Methanex Company (MEOH)?
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Methanex Corporation (MEOH) : Free Stock Analysis Report
LyondellBasell Industries N.V. (LYB) : Free Stock Analysis Report
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