Olympic Steel (ZEUS) to Report Q1 Earnings: What's in Store?
Olympic Steel, Inc. ZEUS will release first-quarter 2022 results after the closing bell on May 5.
The company has a trailing four-quarter earnings surprise of 49.7%, on average. Its first-quarter results are likely to have benefited from solid end-market demand.
Shares of Olympic Steel have gained 2.4% in the past year compared with the 3.7% rise of the industry.
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Let’s see how things are shaping up for this announcement.
Zacks Model
Our proven model predicts an earnings beat for Olympic Steel this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earning beat.
Earnings ESP: Earnings ESP for Olympic Steel is +6.64%. The Zacks Consensus Estimate for the first quarter is currently pegged at $2.26. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Olympic Steel currently carries a Zacks Rank #1.
What do the Estimates Say?
The Zacks Consensus Estimate for first-quarter sales for Olympic Steel is currently pegged at $548.4 million, which suggests a rise of around 18.4% year over year.
A Few Factors to Watch
Olympic Steel, in its fourth-quarter call, said that it is optimistic about business conditions in the first quarter and expects a strong quarter.
Favorable market conditions and strong end-user demand are expected to have driven its top line and margins in the March quarter. The company’s results are likely to reflect the strength in its pipe and tube and specialty metals businesses.
The company is likely to have benefited from the strength in stainless steel, aluminum, and pipe and tube markets. It is expected to have witnessed strong demand for its carbon products in the first quarter. Higher demand is expected to have boosted its volumes in the quarter. ZEUS is also expected to have gained from its acquisition and diversification strategy.
However, Olympic Steel is likely to have faced headwinds from the softening of prices in the carbon segment. The impacts of supply chain disruptions and labor shortages are also expected to reflect on its first-quarter results.
Olympic Steel, Inc. Price and EPS Surprise
Olympic Steel, Inc. price-eps-surprise | Olympic Steel, Inc. Quote
Stocks That Warrant a Look
Here are some companies in the basic materials space you may want to consider as our model shows these too have the right combination of elements to post an earnings beat this quarter:
Allegheny Technologies Incorporated ATI, scheduled to release earnings on May 4, has an Earnings ESP of +4.55% and carries a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Allegheny’s first-quarter earnings has been revised 4.8% upward over the past 60 days. The Zacks Consensus Estimate for ATI’s earnings for the quarter is currently pegged at 22 cents.
Sociedad Quimica y Minera de Chile S.A. SQM, slated to release earnings on May 18, has an Earnings ESP of 29.73% and carries a Zacks Rank #1.
The consensus estimate for Sociedad Quimica’s first-quarter earnings has been revised 55.7% upward in the past 60 days. The Zacks Consensus Estimate for SQM’s earnings for the quarter is pegged at $1.23.
Endeavour Silver Corp. EXK, scheduled to release earnings on May 11, has an Earnings ESP of 4.35% and carries a Zacks Rank #3.
The consensus estimate for Endeavour Silver’s first-quarter earnings has been revised 20% upward in the past 60 days. The Zacks Consensus Estimate for EXK’s earnings for the quarter is pegged at 6 cents.
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Allegheny Technologies Incorporated (ATI) : Free Stock Analysis Report
Sociedad Quimica y Minera S.A. (SQM) : Free Stock Analysis Report
Olympic Steel, Inc. (ZEUS) : Free Stock Analysis Report
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