Exploring DT Midstream's Earnings Expectations

DT Midstream DTM is preparing to release its quarterly earnings on Tuesday, 2024-10-29. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect DT Midstream to report an earnings per share (EPS) of $0.92.

DT Midstream bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Past Earnings Performance

During the last quarter, the company reported an EPS beat by $0.05, leading to a 0.95% increase in the share price on the subsequent day.

Here's a look at DT Midstream's past performance and the resulting price change:

Analyst Views on DT Midstream

For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on DT Midstream.

Analysts have given DT Midstream a total of 7 ratings, with the consensus rating being Neutral. The average one-year price target is $82.71, indicating a potential 5.36% downside.

Comparing Ratings with Peers

The below comparison of the analyst ratings and average 1-year price targets of Antero Midstream, EnLink Midstream and Plains All American, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• The consensus among analysts is an Underperform trajectory for Antero Midstream, with an average 1-year price target of $16.0, indicating a potential 81.69% downside.
• As per analysts' assessments, EnLink Midstream is favoring an Neutral trajectory, with an average 1-year price target of $15.57, suggesting a potential 82.18% downside.
• The consensus among analysts is an Neutral trajectory for Plains All American, with an average 1-year price target of $19.0, indicating a potential 78.26% downside.

Comprehensive Peer Analysis Summary

The peer analysis summary offers a detailed examination of key metrics for Antero Midstream, EnLink Midstream and Plains All American, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Key Takeaway:

DT Midstream ranks in the middle for consensus rating among its peers. It is positioned in the bottom half for revenue growth and gross profit, while its return on equity is also below average compared to its peers.

Delving into DT Midstream's Background

DT Midstream Inc is an owner, operator, and developer of natural gas midstream interstate and intrastate pipelines; storage and gathering systems; and compression, treatment, and surface facilities. It provides multiple, integrated natural gas services to customers through interstate pipelines, intrastate pipelines, storage systems, lateral pipelines and related treatment plants and compression and surface facilities, and gathering systems and related treatment plants and compression and surface facilities. The segments of the group are Pipeline and Gathering. It generates revenue from pipeline, storage, and gathering systems, substantially all of which are located in the Midwestern U.S., Eastern Canada, Northeastern U.S., and Gulf Coast regions.

DT Midstream: A Financial Overview

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: DT Midstream's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 8.93%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Energy sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 39.34%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): DT Midstream's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 2.3%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): DT Midstream's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.07%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: DT Midstream's debt-to-equity ratio is below the industry average. With a ratio of 0.76, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

To track all earnings releases for DT Midstream visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.