Mineral rights owner Black Stone Minerals (NYSE:BSM) will be reporting results this Monday after market hours. Here’s what to expect.
Black Stone Minerals missed analysts’ revenue expectations last quarter, reporting revenues of $59.36 million, flat year on year. It was a very strong quarter for the company, with a solid beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates. It reported year-on-year oil production growth of 9.6%.
Is Black Stone Minerals a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Black Stone Minerals’s revenue to decline 33.7% year on year, a reversal from the 45.5% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Black Stone Minerals has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Black Stone Minerals’s peers in the upstream & integrated segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Weatherford’s revenues decreased 8.2% year on year, beating analysts’ expectations by 3.4%, and Peabody Energy reported revenues up 12.7%, in line with consensus estimates. Weatherford traded up 4.5% following the results while Peabody Energy was down 7.9%.
Read our full analysis of Weatherford’s results here and Peabody Energy’s results here.
There has been positive sentiment among investors in the upstream & integrated segment, with share prices up 7% on average over the last month. Black Stone Minerals is up 10.6% during the same time and is heading into earnings with an average analyst price target of $16 (compared to the current share price of $14.95).
ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention.
AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice.