Earthstone Energy (ESTE) Update - Sept 16
Posted: Fri Sep 16, 2022 1:25 pm
Note from Zach's Equity Research Team this morning.
Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Over the last 30 days, the Zacks Consensus EPS Estimate for the current year has increased 14.4%, as one estimate has moved higher compared to no negative revision.
Moreover, ESTE currently has a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than the 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term.
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Earthstone announced the closing of the Titus Acquisition on August 10, 2022. It is a SIGNIFICANT deal that puts the Company on-track to a 2022 production exit rate of 100,000 Boepd, which compares to Earthstone's actual Q1 2022 production of 35,509 Boepd.
Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Over the last 30 days, the Zacks Consensus EPS Estimate for the current year has increased 14.4%, as one estimate has moved higher compared to no negative revision.
Moreover, ESTE currently has a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than the 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term.
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Earthstone announced the closing of the Titus Acquisition on August 10, 2022. It is a SIGNIFICANT deal that puts the Company on-track to a 2022 production exit rate of 100,000 Boepd, which compares to Earthstone's actual Q1 2022 production of 35,509 Boepd.