Is a Beat within the Playing cards for Matador’s (MTDR) Q2 Earnings?

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Is a Beat within the Playing cards for Matador’s (MTDR) Q2 Earnings?


Matador Sources Firm MTDR is predicted to beat second-quarter 2021 earnings estimates when it studies outcomes on Jul 27, after the closing bell.

Within the final reported quarter, the main upstream firm reported adjusted earnings of 71 cents per share, beating the Zacks Consensus Estimate of 39 cents on greater realizations of commodity costs.

So far as earnings shock is anxious, the Dallas, TX-based firm is on a agency footing because it beat the Zacks Consensus Estimate within the final 4 quarters, the common being 133.3%. That is depicted within the graph beneath:

Let’s see how issues have formed up previous to the upcoming earnings announcement.

Matador Sources Firm Value and EPS Shock

Matador Resources Company Price and EPS Surprise

Matador Sources Firm price-eps-surprise | Matador Sources Firm Quote

Development in Estimate Revision

The Zacks Consensus Estimate for earnings of 73 cents per share has seen three upward estimate revisions and no downward motion over the previous 30 days. The estimated determine suggests a surge of two,533.3% from the prior-year reported quantity.

The Zacks Consensus Estimate for revenues of $342.eight million signifies a 132.5% enchancment from the prior-year quarter.

What the Quantitative Mannequin Suggests

Our confirmed mannequin predicts an earnings beat for Matador this time round as properly. The mixture of a optimistic Earnings ESP and a Zacks Rank #1 (Sturdy Purchase), 2 (Purchase) or 3 (Maintain) will increase the probabilities of an earnings beat.

Earnings ESP: The corporate has an Earnings ESP of +2.63%. It’s because the Most Correct Estimate for the quarter’s earnings is 75 cents per share whereas the Zacks Consensus Estimate is 73 cents. You’ll be able to uncover the most effective shares to purchase or promote earlier than they’re reported with our Earnings ESP Filter.

Zacks Rank: Matador at present sports activities a Zacks Rank #1.

Elements Driving the Higher-Than-Anticipated Earnings

The exploration and manufacturing firm’s second-quarter earnings are anticipated to have been boosted by greater crude and gasoline manufacturing volumes. The Zacks Consensus Estimate for oil manufacturing volumes is pegged at 51,200 barrels per day (bpd), indicating an increase from the year-ago stage of 43,074 bpd. Equally, the consensus estimate for pure gasoline manufacturing is pegged at 224 million of cubic toes per day (MMcf/d), signaling a rise from 181 MMcf/d a 12 months in the past.

Increased manufacturing volumes are prone to have been supported by a positive commodity pricing state of affairs. The worth of West Texas Intermediate crude improved greater than 20% within the June quarter of this 12 months. Compared with the year-ago quarter, the commodity value has improved drastically. The size of the advance will be represented as a value surge from the pandemic-hit low mark – when oil was within the damaging territory – in April 2020, to breaking the psychological barrier of $70 per barrel. Like oil, pure gasoline value too improved drastically within the June quarter, 12 months over 12 months.

The numerous enchancment within the commodity pricing state of affairs was backed by the optimism that gasoline demand will recuperate significantly this 12 months, due to the rolling out of coronavirus vaccines at a large scale.

Different Shares That Warrant a Look

Listed here are another corporations within the power house that you could be wish to contemplate as these too have the precise mixture of components to put up an earnings beat within the upcoming quarterly studies:

Enterprise Merchandise Companions LP EPD has an Earnings ESP of +4.49% and a Zacks Rank of three. It’s scheduled to report second-quarter outcomes on Jul 28. You’ll be able to see the whole listing of at this time’s Zacks #1 Rank shares right here.

EQT Company EQT has an Earnings ESP of +28.20% and is a Zacks #Three Ranked participant. The corporate is slated to report second-quarter outcomes on Jul 28.

Vary Sources Company RRC has an Earnings ESP of +3.51% and is Zacks #1 Ranked. The agency is scheduled to launch earnings on Jul 26.

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Enterprise Merchandise Companions L.P. (EPD): Free Inventory Evaluation Report

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Matador Sources Firm (MTDR): Free Inventory Evaluation Report

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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.



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