Quarterly Earnings Report: Southwestern Energy Company (SWN)

666

Southwestern Energy Company (SWN) tumbled -6.88% to $11.92 and the amount of shares that traded hands from sellers to buyers was 19,505,913 shares. The company declared its Q116 earnings before market opening on 21 April 2016. SWN stock traded between $10.435 and $11.15 on the day of the earnings release. EPS for the recently concluded quarter came in at -$0.08 when sales were $579M. Analysts had been looking for -$0.21 a share with $530.01M in sales.

Historical Earnings Data: Southwestern Energy Company topped earnings estimates in 7  of the trailing twelve fiscal quarters (3 financial years), and has a negative trend with an average miss rate of 58%. SWN had posted earnings per share of -$0.02 for the June 2015 quarter, falling short of the mean forecast of $0.06. Revenues reached 933M in the quarter, which was greater than the consensus 919.39M projection. However, in the December 2015 quarter it recorded a net 687M revenue with EPS of -$0.02. Wall Street had projected 750.9M and -$0.02, respectively. For comparison, there was a revenue of 764M and earnings of $0.01 in the September 2015 quarter.

Current Quarter Outlook: The focus will now turn to the outlook or guidance for the next reporting quarter (June 2016). Analysts, on average, predict Southwestern Energy Company will report -$0.16 in earnings per share (EPS) on revenue of 511.34M. The earnings-per-share consensus range is -$0.44-$0.18 on sales between 341.50M and 586.60M.

Analyst Sentiment: The confidence in the future of Southwestern Energy Company (SWN) is getting weaker by the somewhat bearish sentiment (3.20 on a 5-point scale) that analysts have issued concerning it. Analysts on the average rate the stock as Hold. Research analysts at KLR Group have been covering SWN stock so their up-to-date recommendation is worth a look. KLR Group published a research note on April 25, 2016, lowering the stock from *Accumulate* to Buy. UBS also changed its view on April 19, 2016, downgrading shares of Southwestern Energy Company to Neutral from *Sell*.

Growth Potential: The stock is trading up 138.4% versus 1-year low of $5 and stands -59.74% down from its peak of $29.61. The consensus price target of $10 means that the market expects Company shares to fall by -16.11 in the near future. The sell-side target prices range from $3 to $18. In the last month the stock has moved in price 40.07% with a one year change of -58.73%. The last trading session volume compares with the 20.92M average and market worth around $4.45B.

 

LEAVE A REPLY