Uncovering Potential: Compass Minerals Intl's Earnings Preview

Compass Minerals Intl CMP is preparing to release its quarterly earnings on Monday, 2024-12-16. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Compass Minerals Intl to report an earnings per share (EPS) of $-0.52.

The announcement from Compass Minerals Intl 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.

Overview of Past Earnings

In the previous earnings release, the company missed EPS by $0.27, leading to a 2.6% drop in the share price the following trading session.

Here's a look at Compass Minerals Intl's past performance and the resulting price change:

Performance of Compass Minerals Intl Shares

Shares of Compass Minerals Intl were trading at $13.28 as of December 12. Over the last 52-week period, shares are down 50.91%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Analyst Views on Compass Minerals Intl

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Compass Minerals Intl.

The consensus rating for Compass Minerals Intl is Neutral, based on 1 analyst ratings. With an average one-year price target of $20.0, there's a potential 50.6% upside.

Analyzing Analyst Ratings Among Peers

This comparison focuses on the analyst ratings and average 1-year price targets of Piedmont Lithium, United States Antimony and Solitario Resources, three major players in the industry, shedding light on their relative performance expectations and market positioning.

• The prevailing sentiment among analysts is an Neutral trajectory for Piedmont Lithium, with an average 1-year price target of $13.88, implying a potential 4.52% upside.
• United States Antimony received a Buy consensus from analysts, with an average 1-year price target of $1.75, implying a potential 86.82% downside.
• The consensus outlook from analysts is an Buy trajectory for Solitario Resources, with an average 1-year price target of $1.2, indicating a potential 90.96% downside.

Overview of Peer Analysis

The peer analysis summary outlines pivotal metrics for Piedmont Lithium, United States Antimony and Solitario Resources, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

Compass Minerals Intl ranks at the bottom for Revenue Growth and Gross Profit among its peers. It is in the middle for Return on Equity.

Delving into Compass Minerals Intl's Background

Compass Minerals currently produces two primary products: salt and specialty potash fertilizer. The company's main assets include rock salt mines in Ontario, Canada, the us state of Louisiana, and the United Kingdom. The fertilizer is produced from a brine operation at the Great Salt Lake in Utah that produces sulfate of potash and magnesium chloride. Compass' salt products are used for deicing and also by industrial and consumer end markets. The firm's sulfate of potash is used by growers of high-value crops that are sensitive to standard potash.

Breaking Down Compass Minerals Intl's Financial Performance

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Decline in Revenue: Over the 3 months period, Compass Minerals Intl faced challenges, resulting in a decline of approximately -2.26% in revenue growth as of 30 June, 2024. This signifies a reduction in the company's top-line earnings. When compared to others in the Materials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Compass Minerals Intl's net margin excels beyond industry benchmarks, reaching -21.49%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Compass Minerals Intl's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -11.79%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -2.69%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: With a high debt-to-equity ratio of 2.49, Compass Minerals Intl faces challenges in effectively managing its debt levels, indicating potential financial strain.

To track all earnings releases for Compass Minerals Intl visit their earnings calendar on our site.

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