Will CenterPoint Energy (CNP) Q1 Earnings Lag Estimates? - Analyst Blog

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CenterPoint Energy, Inc . CNP will release its first-quarter 2015 financial results before the market opens on May 11, 2015. In the prior quarter, this utility reported a positive earnings surprise of 30.77%. Let's see how things are shaping up at CenterPoint Energy prior to this announcement.

Factors to Consider this Quarter

CenterPoint Energy's first-quarter results are up against difficult comparisons as the prior-year period was hit by severe winter temperatures due to the polar vortex, which drove record demand for natural gas.

Ongoing economic developments in CenterPoint Energy's operating territories have resulted in new construction across all its customer segments. This might be an indication of enhanced demand in its service territories.

Earnings Whispers

Our proven model does not conclusively show that CenterPoint Energy is likely to beat earnings estimates this quarter. That is because a stock needs to have both a a positive Zacks Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. This is not the case here.

Zacks ESP : CenterPoint Energy has an Earnings ESP of -2.94%. This is because the Most Accurate estimate stands at 33 cents while the Zacks Consensus Estimate is at 34 cents.

Zacks Rank #3 (Hold) : Though the Zacks Rank #3 increases the predictive power, a negative ESP makes an earnings beat unlikely this quarter.

We caution against stocks with a Zacks Rank #4 and #5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.

Other Releases

DTE Energy Company DTE reported first-quarter 2015 operating earnings per share of $1.65, beating the Zacks Consensus Estimate of $1.49 by 10.7%.

Duke Energy Corporation DUK reported first-quarter 2015 adjusted earnings of $1.24 per share that outpaced the Zacks Consensus Estimate of $1.12 by 10.7%

Wisconsin Energy Corporation WEC reported first-quarter 2015 earnings of of 90 cents per share that beat the Zacks Consensus Estimate of 82 cents by 9.8%.

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WISC ENERGY CP (WEC): Free Stock Analysis Report

CENTERPOINT EGY (CNP): Free Stock Analysis Report

DUKE ENERGY CP (DUK): Free Stock Analysis Report

DTE ENERGY CO (DTE): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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