MGE (MGEE) got here out with quarterly earnings of $0.61 per share, lacking the Zacks Consensus Estimate of $0.84 per share. This compares to earnings of $0.55 per share a 12 months in the past. These figures are adjusted for non-recurring gadgets.
This quarterly report represents an earnings shock of -27.38%. 1 / 4 in the past, it was anticipated that this public utility holding firm would publish earnings of $1.17 per share when it truly produced earnings of $1.13, delivering a shock of -3.42%.
During the last 4 quarters, the corporate has not been in a position to surpass consensus EPS estimates.
MGE
The sustainability of the inventory’s fast value motion primarily based on the recently-released numbers and future earnings expectations will largely depend upon administration’s commentary on the earnings name.
MGE shares have misplaced about 1% for the reason that starting of the 12 months versus the S&P 500’s acquire of 1.7%.
What’s Subsequent for MGE?
Whereas MGE has underperformed the market to this point this 12 months, the query that involves buyers’ minds is: what’s subsequent for the inventory?
There aren’t any simple solutions to this key query, however one dependable measure that may assist buyers deal with 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 recently.
Empirical analysis reveals a powerful correlation between near-term inventory actions and developments in earnings estimate revisions. Traders can monitor such revisions by themselves or depend on a tried-and-tested ranking software just like the Zacks Rank, which has a formidable monitor document of harnessing the ability of earnings estimate revisions.
Forward of this earnings release, the estimate revisions development for MGE: combined. Whereas the magnitude and route of estimate revisions may change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out in keeping with 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 $0.96 on $198.17 million in revenues for the approaching quarter and $3.84 on $707.88 million 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 cloth affect on the efficiency of the inventory as nicely. By way of the Zacks Trade Rank, Utility – Electrical Energy is presently within the prime 50% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
One other inventory from the identical trade, Algonquin Energy & Utilities (AQN), has but to report outcomes for the quarter ended December 2024. The outcomes are anticipated to be launched on March 7.
This utility operator is anticipated to publish quarterly earnings of $0.08 per share in its upcoming report, which represents a year-over-year change of -50%. The consensus EPS estimate for the quarter has remained unchanged during the last 30 days.
Algonquin Energy & Utilities’ revenues are anticipated to be $625.14 million, down 6.3% from the year-ago quarter.
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MGE Energy Inc. (MGEE) : Free Stock Analysis Report
Algonquin Power & Utilities Corp. (AQN) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.
