| NiSource's (NI) Q1 Earnings Preview: What to Look For? - Analyst Blog | |
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Energy holding company, NiSource Inc. NI is set to report its first-quarter 2015 results before the opening bell on Apr 30, 2015.
Last quarter, NiSource posted a negative earnings surprise of 1.92%. Let’s see how things are shaping up for this earnings announcement.
Factors Influencing This Quarter
The current shale boom in the U.S. explains NiSource’s aggressive investments in midstream development as well as modernization initiatives. To capitalize on the resource-rich Marcellus and Utica basins, the company steadily increased its investments in the last three years and plans to continue to do so in the coming years.
Last year, the company placed into service new revenue generating assets worth more than $800 million. These additions will definitely be reflected in the company’s revenues and earnings this quarter.
Moreover, NiSource’s assets are positioned in an energy-intensive region extending from the Gulf Coast to the Midwest, Mid-Atlantic, New England and Northeast. This corridor comprises over 30% of the country’s population and nearly 31% of its natural gas consumption. The growing needs of the region are likely to boost the company’s revenues.
Earnings Whispers?
Our proven model does not conclusively show that NiSource is likely to beat earnings this quarter. That is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to be able to beat consensus estimates. That is not the case here as you will see below.
Zacks ESP: Earnings ESP, which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, is at 0.00%. This is because both the Most Accurate Estimate and the Zacks Consensus Estimate are at 82 cents per share.
Zacks Rank: Though NiSource has a Zacks Rank #3, its 0.00% ESP complicates the predictive power.
We caution against stocks with Zacks Ranks #4 and 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks to Consider
Here are some stocks in the utility industry you may want to consider as our model shows that these have the right combination of elements to post an earnings beat this season:
Dominion Resources, Inc. D has an earnings ESP of +1.04% and a Zacks Rank #3.
Eversource Energy ES has an earnings ESP of +5.00% and a Zacks Rank #3.
Exelon Corp. EXC has an earnings ESP of +2.99% and a Zacks Rank #3. 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 NISOURCE INC (NI): Free Stock Analysis Report EXELON CORP (EXC): Free Stock Analysis Report DOMINION RES VA (D): Free Stock Analysis Report EVERSOURCE EGY (ES): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
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Nisource Inc.
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CODE : NI |
ISIN : US65473P1057 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Nisource is a development stage company based in United states of america. Nisource is listed in Germany and in United States of America. Its market capitalisation is US$ 9.4 billions as of today (€ 8.8 billions). Its stock quote reached its lowest recent point on January 04, 1985 at US$ 0.56, and its highest recent level on April 22, 2024 at US$ 27.91. Nisource has 337 410 827 shares outstanding. |