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Chemical Stocks Q2 Earnings Slated on Aug 4: MTX, OEC, KOP

Zacks Equity Research

A few chemical companies are scheduled to report their quarterly numbers on Aug 4. The chemical industry falls under the broader Basic Materials sector. This sector is one among the eight of the 16 Zacks sectors anticipated to post negative earnings growth in the second quarter. Per the latest Earnings Preview report, its earnings are projected to be down 10.6% on 7.6% lower sales on a year-over-year basis.

Based on the earnings releases, 65% of the sector’s participants on the S&P 500 index have already reported their quarterly scores, posting a 5.9% decline in earnings and a 10.1% fall in revenues, as of Jul 29.

The chemical industry is gradually gaining strength, benefitting from sustained momentum in the automotive space and rebounding construction markets. Chemical companies are looking for cost-synergy opportunities and enhanced operational scale through consolidations amid nagging macroeconomic challenges. These companies also remain focused on improving their reach in high-growth markets in a bid to diminish their exposure to businesses grappling with depressed demand and input cost pressure.

However, some industry-specific challenges, Eurozone’s tepid recovery and concerns over China’s future growth remain concerns for the chemical industry.

Let’s take a peek at three chemical companies that are slated to report their second-quarter results on Aug 4.

Minerals Technologies Inc. MTX – scheduled to report before the bell – has an Earnings ESP  of +0.87% as the Most Accurate estimate stands at $1.16 and the Zacks Consensus Estimate is pegged at $1.15. The stock’s favorable Zacks Rank #3 (Hold) and a positive ESP shows that it is likely to beat earnings. Minerals Technologies surpassed the Zacks Consensus Estimate over the trailing four quarters, with an average beat of 2.98%.

MINERAL TECH Price and EPS Surprise

MINERAL TECH Price and EPS Surprise | MINERAL TECH Quote

Orion Engineered Carbons SA OEC will release earnings results after the bell. The stock has an Earnings ESP of 0.00% as both the Most Accurate estimate and the Zacks Consensus Estimate stand at 36 cents. The company carries a Zacks Rank #2 (Buy), but its 0.00% ESP makes surprise prediction difficult. Orion missed estimates in two of the trailing four quarters while beating in one and breaking even in the other, with an average negative surprise of 4.97%.

ORION ENGINRD Price and EPS Surprise

ORION ENGINRD Price and EPS Surprise | ORION ENGINRD Quote

Koppers Holdings Inc. KOP is set to report its quarterly numbers before the market opens. It has an Earnings ESP of 0.00% as both the Most Accurate estimate and the Zacks Consensus Estimate stand at 62 cents. The company carries a Zacks Rank #3, but its 0.00% ESP makes surprise prediction difficult. Koppers beat the Zacks Consensus Estimate in three of the trailing four quarters, with an average positive surprise of 59.17%.

KOPPERS HOLDNGS Price and EPS Surprise

KOPPERS HOLDNGS Price and EPS Surprise | KOPPERS HOLDNGS Quote

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KOPPERS HOLDNGS (KOP): Free Stock Analysis Report
 
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MINERAL TECH (MTX): Free Stock Analysis Report
 
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