Oilfield services company ProPetro (NYSE: PUMP) will be announcing earnings results this Wednesday morning. Here’s what investors should know.
ProPetro missed analysts’ revenue expectations last quarter, reporting revenues of $305.8 million, down 6.2% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ EBITDA estimates and a significant miss of analysts’ EPS estimates.
Is ProPetro 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 ProPetro’s revenue to grow 6% year on year, a reversal from the 18.6% decrease 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. ProPetro has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at ProPetro’s peers in the oilfield services segment, some have already reported their Q3 results, giving us a hint as to what we can expect. SLB delivered year-on-year revenue growth of 5.8%, beating analysts’ expectations by 1.7%, and Halliburton reported revenues up 1.8%, topping estimates by 2.1%. SLB traded up 6.4% following the results while Halliburton was also up 3.1%.
Read our full analysis of SLB’s results here and Halliburton’s results here.
There has been positive sentiment among investors in the oilfield services segment, with share prices up 5.7% on average over the last month. ProPetro is down 19.7% during the same time and is heading into earnings with an average analyst price target of $15.69 (compared to the current share price of $7.51).
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