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Analyzing EOG Resources’ 4Q17 Revenues Expectations

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EOG Resources’ 4Q17 revenue estimate

For 4Q17, Wall Street analysts expect EOG Resources (EOG) to report revenues of ~$3 billion. On a YoY (year-over-year) basis, EOG’s 4Q17 revenue expectations are ~25% higher compared to 4Q16 revenues of ~$2.4 billion. Sequentially, its 4Q17 revenue expectations are ~13% higher than its 3Q17 revenues of ~$2.7 billion.

The YoY increase in EOG Resources’ 4Q17 production and higher realized prices for crude oil, natural gas, and natural gas liquids are expected to impact EOG’s revenues positively. We’ll look at EOG’s production in the next part.

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As of February 20, 2018, according to Reuters, the components of the S&P 500 index are expected to report a blended revenue growth of almost 8% in 4Q17 compared with 4Q16. Reuters said that with a YoY estimated blended revenue growth of ~20% in 4Q17, the energy sector is expected to drive the S&P 500 revenue growth in 4Q17. Excluding the energy sector, blended revenue growth for the S&P 500 is estimated at 7%.

EOG Resources’ 2017 revenue estimate

For 2017, Wall Street analysts expect EOG Resources to report revenues of ~$10.9 billion, which is ~42% higher than ~$7.7 billion in 2016. EOG’s peer Devon Energy (DVN) reported revenues of ~$13.9 billion in 2017, which is ~35% higher than ~$10.3 billion in 2016.

Let’s take a look next at EOG’s 4Q17 and 2017 production guidance.

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