TimkenSteel (TMST) to Report Q1 Earnings: What's in the Cards?
TimkenSteel Corporation TMST will release first-quarter 2022 results after the closing bell on May 4. Higher end-market demand and cost-reduction actions are likely to have aided its performance in the quarter.
The company surpassed the Zacks Consensus Estimate in each of the trailing four quarters at an average of roughly 41.3%. It posted an earnings surprise of 33.3% in the last reported quarter.
Shares of TimkenSteel have rallied 78.6% in the past year compared with 9.6% rise of the industry.
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Let’s see how things are shaping up for this announcement.
What do the Estimates Say?
The Zacks Consensus Estimate for first-quarter sales for TimkenSteel is currently pegged at $338.4 million, which suggests a rise of around 23.7% year over year.
Some Factors at Play
TimkenSteel is expected to have benefited, in the March quarter, from higher demand in industrial and energy end markets. TMST is seeing continued recovery in its industrial markets.
The company is also likely to have benefited from its efforts to improve its cost structure and manufacturing efficiency in the to-be-reported quarter. Benefits of its cost-reduction actions and a favorable pricing environment are expected to reflect on its bottom line in the quarter.
However, the semiconductor supply-chain disruptions might have impacted the company’s shipments to mobile customers in the first quarter.
Timken Steel Corporation Price and EPS Surprise
Timken Steel Corporation price-eps-surprise | Timken Steel Corporation Quote
Zacks Model
Our proven model does not conclusively predict an earnings beat for TimkenSteel this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here.
Earnings ESP: Earnings ESP for TimkenSteel is 0.00%. The Zacks Consensus Estimate for earnings for the first quarter is currently pegged at 81 cents. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: TimkenSteel currently carries a Zacks Rank #1.
Stocks That Warrant a Look
Here are some companies in the basic materials space you may want to consider as our model shows these 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.
Westlake Corporation WLK, slated to release earnings on May 3, has an Earnings ESP of +17.30% and carries a Zacks Rank #2.
The Zacks Consensus Estimate for Westlake's first-quarter earnings has been revised 22.1% upward over the past 60 days. The consensus estimate for WLK’s earnings for the quarter is currently pegged at $4.53.
The Chemours Company CC, scheduled to release earnings on May 2, has an Earnings ESP of +3.83% and carries a Zacks Rank #3.
The Zacks Consensus Estimate for Chemours’ first-quarter earnings has been revised 2.2% upward in the past 60 days. The consensus estimate for CC’s earnings for the quarter is currently pegged at 92 cents.
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Westlake Corp. (WLK) : Free Stock Analysis Report
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