Vitesse Energy to Report Q2 Earnings: What's in Store?

Vitesse Energy Inc. VTS is set to report second-quarter 2024 earnings on Aug 5, after the closing bell.

Let us delve into the factors that are anticipated to have affected this upstream energy company's performance. However, before that, it would be worth taking a look at VTS's first-quarter performance.

Highlights of Q1 Earnings & Surprise History

The company's adjusted earnings per share of 34 cents beat the Zacks Consensus Estimate of 32 cents in the last reported quarter.

Vitesse Energy's earnings beat the Zacks Consensus Estimate once in the trailing four quarters and missed the same thrice, the average negative surprise being 9.8%. This is depicted in the graph below:

Estimate Trend

The Zacks Consensus Estimate for second-quarter earnings per share of 35 cents has witnessed no downward and upward movement over the past 30 days. The estimate suggests a 3% improvement from the prior-year reported number.

The Zacks Consensus Estimate for second-quarter revenues of $63.9 million indicates a 23.9% increase from the year-ago reported figure.

Factors to Consider

Vitesse Energy is anticipated to have maintained stable performance in the second quarter, driven by productive acreages in prime oil shale plays like North Dakota's Bakken oil field. The company's more than 200 untapped, high-quality drilling locations bolster its production outlook.

Per the U.S. Energy Information Administration, the WTI crude oil price increased 5.6% sequentially and 11.3% year over year in the second quarter. This increase in commodity prices is likely to have aided the company's performance in the to-be-reported quarter.

However, challenges likely emerged from the decline in natural gas prices. The Natural Gas Henry Hub Spot price decreased 2.03% sequentially and 3.52% year over year in the second quarter. This drop was mainly due to increased natural gas production, milder weather reducing demand, higher storage levels and geopolitical tensions impacting global energy markets.

Additionally, Vitesse Energy raised its 2024 capital expenditure guidance after acquiring or agreeing to acquire more oil and gas interests in North Dakota's Williston Basin. This likely impacted its second-quarter performance, following a 17.6% year-over-year rise in its first-quarter capital expenditure.

These factors are expected to have influenced demand and pricing dynamics, potentially affecting Vitesse Energy's quarterly performance.

Earnings Whispers

Our proven model does not indicate an earnings beat for Vitesse Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you will see below.

Earnings ESP: Vitesse Energy has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate and the Zacks Consensus Estimate are both pegged at earnings of 35 cents.

Zacks Rank: Vitesse Energy currently carries a Zacks Rank #3.

Stocks to Consider

Here are three firms that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.

Sunoco LP SUN has an Earnings ESP of +1.96% and currently flaunts a Zacks Rank #1.

Sunoco is scheduled to release second-quarter earnings on Aug 7. The Zacks Consensus Estimate for earnings is pegged at $1.79 per share, suggesting a 129.5% increase from the prior-year reported figure.

MPLX LP MPLX has an Earnings ESP of +0.82% and a Zacks Rank #3 at present.

The firm is scheduled to release second-quarter earnings results on Aug 6. The Zacks Consensus Estimate for earnings is pegged at 98 cents per share, suggesting a 7.7% increase from the prior-year reported figure.

The Williams Companies WMB currently has an Earnings ESP of +2.56% and a Zacks Rank #3.

The firm is scheduled to release second-quarter earnings results on Aug 5. The Zacks Consensus Estimate for WMB's earnings is pegged at 39 cents per share, suggesting a decline from the prior-year reported figure.

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