Sociedad Quimica (SQM) to Post Q3 Earnings: What's in the Offing?
Sociedad Quimica y Minera de Chile S.A. SQM will release third-quarter 2022 results after the closing bell on Nov 16.
The company beat the Zacks Consensus Estimate for earnings in two of the last four quarters while missed twice. It has a trailing four-quarter earnings surprise of around 27.2%, on average. It posted a negative earnings surprise of 7.1% in the last reported quarter. The company’s third-quarter results are likely to have benefited from higher demand and prices.
Shares of Sociedad Quimica have gained 64.2% in the past year compared with 27.9% 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 Sociedad Quimica 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 Sociedad Quimica is +1.03%. The Zacks Consensus Estimate for the third quarter is currently pegged at $3.40. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Sociedad Quimica currently carries a Zacks Rank #1.
What do the Estimates Say?
The Zacks Consensus Estimate for third-quarter sales for Sociedad Quimica is currently pegged at $2,827.4 million, which suggests a rise of around 327.4% year over year.
Some Factors to Watch For
The company is likely to have gained from higher realized prices and strong demand in the third quarter. Higher sales volumes in lithium, specialty plant nutrition and iodine businesses are expected to have aided its top line and margins in the quarter.
Sociedad Quimica is benefiting from favorable trends in the lithium market underpinned by strong electric vehicle sales. The expansion of lithium operations is also expected to have supported the company’s lithium sales volumes. Strong demand and limited supply are also likely to have boosted lithium prices in the third quarter.
Iodine volumes are also expected to have been supported by growing demand following the post-pandemic recovery. The company is also expected to have gained from higher iodine prices in the September quarter.
Sociedad Quimica y Minera S.A. Price and EPS Surprise
Sociedad Quimica y Minera S.A. price-eps-surprise | Sociedad Quimica y Minera S.A. Quote
Stocks That Warrant a Look
Here are some companies you may want to consider, as our model shows these too have the right combination of elements to post an earnings beat this quarter:
Bath & Body Works, Inc. BBWI, slated to release earnings on Nov 16, has an Earnings ESP of +62.21%.
The Zacks Consensus Estimate for Bath & Body Works’ third-quarter earnings is currently pegged at 19 cents. BBWI currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Burlington Stores, Inc. BURL, scheduled to release earnings on Nov 22, has an Earnings ESP of +8.48%.
The consensus estimate for Burlington Stores’ fiscal third-quarter earnings is currently pegged at 52 cents. BURL currently carries a Zacks Rank #3.
Dollar General Corporation DG, slated to release earnings on Dec 1, has an Earnings ESP of +2.35%.
The Zacks Consensus Estimate for Dollar General’s earnings for the fiscal third quarter is currently pegged at $2.54. DG currently carries a Zacks Rank #2.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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