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Brookfield Renewable (BEP) Q4 Earnings: What's in Store?

Zacks Equity Research

Brookfield Renewable Partners L.P. BEP is set to report fourth-quarter 2018 results on Feb 8, before market opens. In the last reported quarter, the company reported negative earnings surprise of 200%.

Let’s see how things are holding up prior to the announcement.

Factors to Consider

The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $756 million, reflecting an increase of 15.1% year over year. Also, the consensus mark for earnings is pegged at 2 cents, against a loss of 22 cents in the year ago quarter.

In the third quarter, the Partnership commissioned a 28-megawatt (MW) wind farm in Ireland. Also, it made progress with additional 19 MW of wind in Scotland, 49 MW of small hydro in Brazil and a 63 MW expansion of a pumped storage facility in the United States. Brookfield Renewable expects these projects to contribute $17 million to FFO on an annualized basis starting in the fourth quarter of 2018.

Brookfield Renewable Partners L.P. Price and EPS Surprise

Brookfield Renewable Partners L.P. Price and EPS Surprise | Brookfield Renewable Partners L.P. Quote

Earnings Whispers

Our proven model does not show that Brookfield Renewable is likely to beat estimates in the upcoming quarterly results. That is because a stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, is 0.00%.

Zacks Rank: The partnership carries a Zacks Rank #3, which when combined with 0.00% ESP makes earnings beat uncertain. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

We caution against stocks with a Zacks Rank #4 and 5 (Sell rated) going into the earnings announcement, especially when the company is seeing negative estimate revisions.

Stocks to Consider

Investors may consider the following companies from the same industry that have the right combination of elements to beat estimates in the quarter to be reported:

Ameren Corporation AEE has an Earnings ESP of +1.68% and a Zacks Rank #1. The company is expected to release fourth-quarter 2018 earnings on Feb 14.

ALLETE Inc ALE has an Earnings ESP of +5.26% and carries a Zacks Rank #2. The company is slated to report fourth-quarter 2018 results on Feb 14.

Portland General Electric Company POR has an Earnings ESP of +4.19% and a Zacks Rank #1. The company is expected to release fourth-quarter 2018 numbers on Feb 15.

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Allete, Inc. (ALE) : Free Stock Analysis Report
 
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