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Energy Transfer (ET) to Report Q3 Earnings: What's in Store?

Zacks Equity Research

Energy Transfer LP ET is scheduled to release third-quarter 2019 results on Nov 6, after market close. This natural gas pipeline operator delivered a negative earnings surprise of 8.33% in the last reported quarter.

Let’s see how things have shaped up before the upcoming earnings announcement.

Factors at Play

The projects completed by the company in the first nine months of 2019 are likely to have aided third-quarter earnings. Energy Transfer’s diverse income sources, which are predominantly fee-based businesses, provide earnings visibility. J.C. Nolan Pipeline started commercial operations during the quarter. This is anticipated to have boosted revenues of the firm.

The Zacks Consensus Estimate for third-quarter total revenues and earnings per share is pegged at $14.3 billion and 38 cents, respectively. The revenue projection indicates a decline of 1.48% from the year-ago reported figure. Nonetheless, the earnings expectation suggests growth of 18.75% from the prior-year quarter.

What Our Quantitative Model Predicts

Our proven model does not conclusively predict an earnings beat for Energy Transfer this season. A stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to surpass estimates. That is not the case here as you will see below.

Earnings ESP: The firm’s Earnings ESP is +3.41%.

You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Energy Transfer carries a Zacks Rank #4 (Sell).

Energy Transfer LP Price and EPS Surprise

Energy Transfer LP Price and EPS Surprise

Energy Transfer LP price-eps-surprise | Energy Transfer LP Quote

Stocks to Consider

Investors can consider the following players from the same sector that have the right combination of elements to post an earnings beat in the to-be-reported quarter.

Rattler Midstream LP RTLR is slated to release third-quarter 2019 numbers on Nov 5. It has an Earnings ESP of +8.41% and carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Plains All American Pipeline LP PAA is scheduled to release third-quarter 2019 numbers on Nov 5. It has an Earnings ESP of +0.42% and carries a Zacks Rank #3.

CSI Compressco LP CCLP is set to release third-quarter 2019 results on Nov 6. It has an Earnings ESP of +72.73% and holds a Zacks Rank #3.

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Plains All American Pipeline, L.P. (PAA) : Free Stock Analysis Report
 
CSI Compressco LP (CCLP) : Free Stock Analysis Report
 
Rattler Midstream LP (RTLR) : Free Stock Analysis Report
 
Energy Transfer LP (ET) : Free Stock Analysis Report
 
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