What's in Store for Consolidated Water (CWCO) in Q2 Earnings?
Consolidated Water Co. Ltd. CWCO is scheduled to release second-quarter 2023 results on Aug 11, before market open. The company delivered an earnings surprise of 30% in the last reported quarter.
Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.
Factors to Consider
During the first quarter, Consolidated Water exercised its right to acquire the remaining 39% of equity ownership of PERC Water Corporation. This initiative is expected to have boosted second-quarter results.
The company’s earnings are likely to have benefited from increased tourist activity that might have boosted demand.
Consolidated Water’s diversified manufacturing base in terms of customer concentration and type of products, provides consistency in results and is likely to have benefited second-quarter earnings.
Q2 Expectations
The Zacks Consensus Estimate for second-quarter earnings is pegged at 22 cents per share, indicating a year-over-year increase of 22.2%.
The Zacks Consensus Estimate for revenues is pinned at $30.3 million, indicating a year-over-year improvement of 43.6%.
What the Zacks Model Unveils
Our proven model does not conclusively predict an earnings beat for Consolidated Water this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) increases the odds of an earnings beat. That is not the case here as you will see below.
Consolidated Water Co. Ltd. Price and EPS Surprise
Consolidated Water Co. Ltd. price-eps-surprise | Consolidated Water Co. Ltd. Quote
Earnings ESP: The company’s Earnings ESP is -3.08%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Currently, Consolidated Water carries a Zacks Rank #2. You can see the complete list of today's Zacks #1 Rank stocks here.
Stock to Consider
Investors may consider the following player from the same sector as this has the right combination of elements to post an earnings beat this reporting cycle.
Algonquin Power & Utilities AQN is likely to report an earnings beat when it announces second-quarter results on Aug 10, before market open. It has an Earnings ESP of +4.17% and a Zacks Rank #3 at present.
AQN’s long-term (three to five years) earnings growth rate is 3.03%. The Zacks Consensus Estimate for earnings is pegged at 10 cents per share, indicating a year-over-year decrease of 37.5%.
Other Releases
American States Water Company AWR reported second-quarter 2023 operating earnings per share of 83 cents, which beat the Zacks Consensus Estimate of 79 cents by 5.1%.
AWR’s long-term earnings growth rate is 6.3%. The Zacks Consensus Estimate for 2023 earnings is pinned at $2.95 per share, indicating year-over-year growth of 29.4%.
American Water Works AWK reported second-quarter 2023 adjusted earnings of $1.44 per share, which beat the Zacks Consensus Estimate of $1.27 by 13.4%.
AWK’s long-term earnings growth rate is 8.18%. The Zacks Consensus Estimate for 2023 earnings is pinned at $4.78 per share, indicating year-over-year growth of 6%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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American Water Works Company, Inc. (AWK) : Free Stock Analysis Report
American States Water Company (AWR) : Free Stock Analysis Report
Consolidated Water Co. Ltd. (CWCO) : Free Stock Analysis Report
Algonquin Power & Utilities Corp. (AQN) : Free Stock Analysis Report
