Chesapeake Energy Corporation


CHK

is set to report fourth-quarter 2021 results on Feb 23, after the closing bell.

In the last reported quarter, Chesapeake Energy comfortably beat the Zacks Consensus Estimate. It beat the consensus estimate thrice in the prior four quarters, the average earnings surprise being 23.1%. This is depicted in the graph below:

Let’s see how things have shaped up prior to this announcement.

Trend in Estimate Revision

The Zacks Consensus Estimate for the company’s

fourth-quarter earnings

per share of $2.40 has witnessed one downward revision and two upward revisions in the past 30 days. The estimated figure suggests an improvement of 105.6% from the prior-year number.

The consensus estimate for fourth-quarter revenues of $1.1 billion indicates a 14.1% decline from the year-ago reported figure.

Factors to Consider

The pricing scenario of natural gas in fourth-quarter 2021 improved drastically from the prior-year period, thanks to the healthier U.S. liquefied natural gas (LNG) exports. The favorable natural gas price is likely to have favored Chesapeake Energy since it is a leading producer of the commodity. Chesapeake Energy has a solid footprint in unconventional onshore oil and natural gas resources in the United States.

Earnings Whispers

Our proven model does not conclusively predict an earnings beat for Chesapeake 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

: Chesapeake Energy’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our

Earnings ESP Filter

.

Zacks Rank

: Chesapeake Energy currently carries a Zacks Rank #3.

Stocks to Consider

Here are a few firms that you may want to consider as these have the right combination of elements to post an earnings beat in the upcoming quarterly reports:

Pembina Pipeline Corporation


PBA

has an Earnings ESP of +20.43% and is a Zacks #2 Ranked player. You can see


the complete list of today’s Zacks #1 Rank stocks here


.

Pembina Pipeline is scheduled to release fourth-quarter results on Feb 24. The Zacks Consensus Estimate for PBA’s earnings is pegged at 47 cents per share, suggesting an increase of 11.9% from the prior-year reported figure.

PDC Energy, Inc.


PDCE

has an Earnings ESP of +3.50% and a Zacks Rank of 3.

PDC Energy is scheduled to report fourth-quarter results on Feb 28. The Zacks Consensus Estimate for PDC Energy’s earnings is pegged at $2.40 per share, suggesting an improvement of 118.2% compared to the prior-year reported figure.

Western Midstream Partners, LP


WES

has an Earnings ESP of +2.57% and a Zacks Rank #2.

Western Midstream is scheduled to release fourth-quarter earnings on Feb 23. The Zacks Consensus Estimate for Western Midstream’s earnings is pegged at 65 cents per unit, suggesting a year-over-year improvement of almost 5%.

Stay on top of upcoming earnings announcements with the

Zacks Earnings Calendar

.

Just Released: Zacks Top 10 Stocks for 2022

In addition to the investment ideas discussed above, would you like to know about our 10 top buy-and-hold tickers for the entirety of 2022?

Last year’s 2021

Zacks Top 10 Stocks

portfolio returned gains as high as +147.7%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys

Access Zacks Top 10 Stocks for 2022 today >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.

Click to get this free report

To read this article on Zacks.com click here.

Zacks Investment Research