Can CNX Resources Beat Its 4Q17 Earnings Estimates?



Odds of beating earnings

In the last four quarters, CNX Resources (CNX) beat the consensus EPS (earnings per share) estimate in 1Q17 and 2Q17. It thus beat the estimate 50% of the time.

Article continues below advertisement

CNX stock reaction to 3Q17 earnings

CNX Resources announced its 3Q17 earnings on October 31, 2017, before the market opened. It reported an adjusted loss of $0.15 per share, which was $0.17 worse than Wall Street analysts’ consensus for a profit of $0.02 per share. CNX’s 3Q17 earnings were almost flat compared with the 3Q16 loss of $0.15 per share. Even when compared sequentially, CNX’s 3Q17 earnings were $0.32 lower than its 2Q17 profit of $0.17 per share. Following the earnings release, better-than-expected earnings saw CNX Resources stock fall from $13.80 to $13.45 in one session.

Since its 3Q17 earnings, CNX Resources has underperformed the SPDR S&P 500 ETF (SPY) and the SPDR Dow Jones Industrial Average ETF (DIA). CNX has been almost flat, whereas SPY and DIA have risen 11% and 14%, respectively.

Same quarter, a year ago

CNX Resources announced its 4Q16 earnings on January 31, 2017, before the market opened. In 4Q16, excluding one-time items, CNX missed the consensus EPS estimate by $0.01. Following the earnings release, worse-than-expected earnings saw CNX Resources stock fall 8% in three sessions.

Other oil and gas producers

In the last four quarters, upstream players ConocoPhillips (COP), Devon Energy (DVN), and Murphy Oil (MUR) have beaten their earnings expectations 75%, 100%, and 75% of the time, respectively.


More From Market Realist