U.S. Markets open in 6 hrs 59 mins

What's in the Offing for Noble Energy's (NBL) Q1 Earnings?

Zacks Equity Research

Noble Energy Inc. NBL is scheduled to release first-quarter 2019 results on May 3. In the last reported quarter, the company pulled off a positive earnings surprise of 9.09%.

Let’s see how things are shaping up before the upcoming earnings announcement.

Factors to Consider

Noble Energy expects natural decline in the Eagle Ford to affect first-quarter results. West Africa volumes are expected to drop sequentially, primarily due to the timing of liftings. The company expects first-quarter total sales volume in the range of 321-336 thousand barrels of oil equivalent per day (MBoe/d) and capex within $725-$800 million.

The Zacks Consensus Estimate for first-quarter sales volume is pegged at 327 MBoe/d. The U.S. onshore volumes are expected to be low during the first quarter due to the timing of well completion.

The Zacks Consensus Estimate for total revenues is pegged at $1.04 billion, indicating a 21.9% fall from the year-ago reported figure.

Noble Energy Inc. Price and EPS Surprise

Noble Energy Inc. Price and EPS Surprise | Noble Energy Inc. Quote

Earnings Whispers

A stock needs to have a positive Earnings ESP (which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate), and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to be able to beat estimates. However, Noble Energy does not have the right combination, as elaborated below.

Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The stock currently carries a Zacks Rank #3. Noble Energy’s positive rank, when combined with 0.00% ESP, makes earnings beat unlikely this season.

However, we caution against stocks with a Zacks Rank #4 or 5 (Sell rated) going into the earnings announcement, especially when the company is seeing a negative estimate revision momentum.

Stocks to Consider

Investors can consider the following players from the industry, which have the right combination of elements to deliver a positive earnings surprise in their upcoming releases.

FTS International Inc. FTSI has an Earnings ESP of +54.24% and a Zacks Rank #2. It is expected to release first-quarter 2019 results on May 7. You can see the complete list of today’s Zacks #1 Rank stocks here.

Cimarex Energy Co. XEC has an Earnings ESP of +1.95% and a Zacks Rank of 2. It is expected to report first-quarter 2019 results on May 8.

Comstock Resources, Inc. CRK has an Earnings ESP of +11.95% and a Zacks Rank #2. The company is expected to post first-quarter 2019 results on May 9.

Biggest Tech Breakthrough in a Generation

Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.

A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.

See 7 breakthrough stocks now>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Comstock Resources, Inc. (CRK) : Free Stock Analysis Report
 
Noble Energy Inc. (NBL) : Free Stock Analysis Report
 
Cimarex Energy Co (XEC) : Free Stock Analysis Report
 
FTS International, Inc. (FTSI) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research