Exploring Middlesex Water's Earnings Expectations

Middlesex Water MSEX is set to give its latest quarterly earnings report on Thursday, 2024-10-31. Here's what investors need to know before the announcement.

Analysts estimate that Middlesex Water will report an earnings per share (EPS) of $0.68.

The announcement from Middlesex Water is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Historical Earnings Performance

In the previous earnings release, the company missed EPS by $0.05, leading to a 0.83% drop in the share price the following trading session.

Here's a look at Middlesex Water's past performance and the resulting price change:

Insights Shared by Analysts on Middlesex Water

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

Analysts have provided Middlesex Water with 1 ratings, resulting in a consensus rating of Neutral. The average one-year price target stands at $58.0, suggesting a potential 8.68% downside.

Understanding Analyst Ratings Among Peers

In this analysis, we delve into the analyst ratings and average 1-year price targets of SJW Gr, Essential Utilities and American Water Works, three key industry players, offering insights into their relative performance expectations and market positioning.

• The prevailing sentiment among analysts is an Neutral trajectory for SJW Gr, with an average 1-year price target of $63.0, implying a potential 0.8% downside.
• The prevailing sentiment among analysts is an Buy trajectory for Essential Utilities, with an average 1-year price target of $44.75, implying a potential 29.54% downside.
• The consensus outlook from analysts is an Underperform trajectory for American Water Works, with an average 1-year price target of $142.0, indicating a potential 123.59% upside.

Comprehensive Peer Analysis Summary

The peer analysis summary provides a snapshot of key metrics for SJW Gr, Essential Utilities and American Water Works, illuminating their respective standings within the industry. These metrics offer valuable insights into their market positions and comparative performance.

Key Takeaway:

Middlesex Water ranks in the middle for Consensus rating among its peers. It is at the bottom for Revenue Growth. It is at the top for Gross Profit. It is at the top for Return on Equity.

Unveiling the Story Behind Middlesex Water

Middlesex Water Co owns and operates regulated water utility and wastewater systems in the U.S. The firm primarily operates in the eastern states of New Jersey, Delaware, and Pennsylvania. The company has two operating segments, Regulated and Non-Regulated. The regulated business includes collecting and distributing water to residential, commercial, industrial, and fire protection consumers. The non-regulated business includes contract services for the operation of private water and wastewater systems. The majority of the company's revenue is derived from the Regulated segment and from residential customers.

Financial Insights: Middlesex Water

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Middlesex Water displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 14.82%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Utilities sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 21.4%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Middlesex Water's ROE excels beyond industry benchmarks, reaching 2.44%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): Middlesex Water's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 0.83% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Middlesex Water's debt-to-equity ratio is below the industry average. With a ratio of 1.01, 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 Middlesex Water visit their earnings calendar on our site.

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