Teck Resources’ 4Q16 earnings
Teck Resources (TCK) (TECK) is expected to release its 4Q16 earnings on February 15. The earnings season is in full swing and most miners (XME) (SCCO) including Freeport-McMoRan (FCX) and Rio Tinto (RIO) have released their 4Q16 earnings. Glencore (GLNCY) is scheduled to release its preliminary 2016 annual results on February 23.
In this series, we’ll explore what Wall Street analysts expect from Teck Resources’ 4Q16 earnings. We’ll also discuss the key metrics investors should watch for in the company’s 4Q16 earnings call. Let’s begin by looking at Teck Resources’ 4Q16 price action.
4Q16 price action
Teck Resources saw an upward price action of 11.0% in 4Q16. Some of the other miners including Freeport and Glencore rose sharply in 4Q16 after Trump’s win. Teck Resources’ 4Q16 price action looks lackluster once we look at the yearly performance where TECK gained ~420%, making it one of the best performing miners last year. Teck Resources’ relative underperformance in 4Q16 as compared to some of the other mining companies could be linked to movement in coking coal prices. While coal prices more than tripled between July and November, they came under pressure in December. Notably, one of the factors that supported TECK last year was the sudden and largely unexpected spike in met coal prices.
In this series, we’ll analyze analysts’ estimates for Teck Resources’ 4Q16 earnings. Continue to the next part for a look at analysts’ estimates for TECK’s 4Q16 revenues.