What to Expect from Gevo's Earnings

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Gevo GEVO will release its quarterly earnings report on Thursday, 2025-03-27. Here's a brief overview for investors ahead of the announcement.

Analysts anticipate Gevo to report an earnings per share (EPS) of $-0.09.

Investors in Gevo are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Earnings Track Record

In the previous earnings release, the company missed EPS by $0.02, leading to a 16.32% drop in the share price the following trading session.

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

Quarter Q3 2024 Q2 2024 Q1 2024 Q4 2023
EPS Estimate -0.07 -0.09 -0.07 -0.05
EPS Actual -0.09 -0.09 -0.08 -0.08
Price Change % -16.0% 0.0% -0.0% -4.0%

eps graph

Tracking Gevo's Stock Performance

Shares of Gevo were trading at $1.25 as of March 25. Over the last 52-week period, shares are up 60.66%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analysts' Take on Gevo

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

A total of 2 analyst ratings have been received for Gevo, with the consensus rating being Buy. The average one-year price target stands at $14.0, suggesting a potential 1020.0% upside.

Analyzing Analyst Ratings Among Peers

The below comparison of the analyst ratings and average 1-year price targets of Green Plains, Clean Energy Fuels and Par Pacific Hldgs, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

  • The consensus outlook from analysts is an Neutral trajectory for Green Plains, with an average 1-year price target of $8.25, indicating a potential 560.0% upside.
  • Analysts currently favor an Buy trajectory for Clean Energy Fuels, with an average 1-year price target of $4.0, suggesting a potential 220.0% upside.
  • As per analysts' assessments, Par Pacific Hldgs is favoring an Outperform trajectory, with an average 1-year price target of $22.0, suggesting a potential 1660.0% upside.

Peers Comparative Analysis Summary

The peer analysis summary offers a detailed examination of key metrics for Green Plains, Clean Energy Fuels and Par Pacific Hldgs, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Gevo Buy -56.60% $-579K -4.12%
Green Plains Neutral -18.02% $6.15M -6.14%
Clean Energy Fuels Buy 2.31% $23.57M -4.19%
Par Pacific Hldgs Outperform -16.09% $119.04M -4.56%

Key Takeaway:

Gevo is at the bottom for Revenue Growth and Gross Profit, with negative values. It is also at the bottom for Return on Equity, with a negative percentage. Gevo's Consensus rating is 'Buy', which is in line with one other peer. Overall, Gevo ranks lower compared to its peers in terms of financial performance metrics.

Discovering Gevo: A Closer Look

Gevo Inc is a renewable chemicals and biofuels company engaged in the development and commercialization of alternatives to petroleum-based products based on isobutanol produced from renewable feedstocks. Its operating segments are the Gevo segment, Renewable Natural Gas Segment, and the Agri-Energy segment. By its segments, it is involved in research and development activities related to the future production of SAF, commercial opportunities for other renewable hydrocarbon products and isobutanol, including the development of its biocatalysts, and the produces-pipeline quality methane gas captured from dairy cow manure.

Unraveling the Financial Story of Gevo

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Negative Revenue Trend: Examining Gevo's financials over 3 months reveals challenges. As of 30 September, 2024, the company experienced a decline of approximately -56.6% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Energy sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -1076.64%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Gevo's ROE stands out, surpassing industry averages. With an impressive ROE of -4.12%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of -3.46%, the company showcases effective utilization of assets.

Debt Management: Gevo's debt-to-equity ratio is below the industry average. With a ratio of 0.14, 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 Gevo visit their earnings calendar on our site.

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

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