New Jersey Resources NJR is gearing up to announce its quarterly earnings on Monday, 2024-11-25. Here's a quick overview of what investors should know before the release.
Analysts are estimating that New Jersey Resources will report an earnings per share (EPS) of $0.88.
The market awaits New Jersey Resources's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
Performance in Previous Earnings
In the previous earnings release, the company missed EPS by $0.08, leading to a 2.0% increase in the share price the following trading session.
Here's a look at New Jersey Resources's past performance and the resulting price change:
| Quarter | Q3 2024 | Q2 2024 | Q1 2024 | Q4 2023 |
|---|---|---|---|---|
| EPS Estimate | -0.01 | 1.32 | 0.75 | 0.32 |
| EPS Actual | -0.09 | 1.41 | 0.74 | 0.30 |
| Price Change % | 2.0% | -1.0% | -1.0% | 2.0% |
Tracking New Jersey Resources's Stock Performance
Shares of New Jersey Resources were trading at $49.85 as of November 21. Over the last 52-week period, shares are up 18.98%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Analyst Observations about New Jersey Resources
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on New Jersey Resources.
A total of 2 analyst ratings have been received for New Jersey Resources, with the consensus rating being Neutral. The average one-year price target stands at $49.0, suggesting a potential 1.71% downside.
Analyzing Ratings Among Peers
The analysis below examines the analyst ratings and average 1-year price targets of UGI, ONE Gas and Southwest Gas Hldgs, three significant industry players, providing valuable insights into their relative performance expectations and market positioning.
- The consensus outlook from analysts is an Neutral trajectory for UGI, with an average 1-year price target of $27.0, indicating a potential 45.84% downside.
- As per analysts' assessments, ONE Gas is favoring an Outperform trajectory, with an average 1-year price target of $78.0, suggesting a potential 56.47% upside.
- Southwest Gas Hldgs received a Neutral consensus from analysts, with an average 1-year price target of $78.0, implying a potential 56.47% upside.
Insights: Peer Analysis
The peer analysis summary presents essential metrics for UGI, ONE Gas and Southwest Gas Hldgs, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| New Jersey Resources | Neutral | 4.38% | $55.19M | -0.54% |
| UGI | Neutral | -16.82% | $741M | -1.03% |
| ONE Gas | Outperform | 1.36% | $150.02M | 0.68% |
| Southwest Gas Hldgs | Neutral | -7.72% | $191.13M | 0.01% |
Key Takeaway:
New Jersey Resources ranks in the middle among its peers for revenue growth. It is at the bottom for gross profit and return on equity.
Unveiling the Story Behind New Jersey Resources
New Jersey Resources is an energy services holding company with regulated and nonregulated operations. Its regulated utility, New Jersey Natural Gas, delivers natural gas to nearly 600,000 customers in the state. NJR's nonregulated businesses include solar investments primarily in New Jersey and investments in several large midstream natural gas projects.
Understanding the Numbers: New Jersey Resources's Finances
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
Revenue Growth: New Jersey Resources's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 4.38%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Utilities sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: New Jersey Resources's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -4.2%, the company may face hurdles in effective cost management.
Return on Equity (ROE): New Jersey Resources's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -0.54% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): New Jersey Resources's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of -0.17%, the company showcases efficient use of assets and strong financial health.
Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 1.59, caution is advised due to increased financial risk.
To track all earnings releases for New Jersey Resources visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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