Oilfield water management company Select Water Solutions (NYSE: WTTR) will be reporting results this Tuesday after the bell. Here’s what to look for.
Select Water Solutions beat analysts’ revenue expectations last quarter, reporting revenues of $346.5 million, flat year on year. It was a very strong quarter for the company, with EPS in line with analysts’ estimates and a decent beat of analysts’ EBITDA estimates.
Is Select Water Solutions 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 Select Water Solutions’s revenue to decline 8.4% year on year, a reversal from the 2.1% increase it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Select Water Solutions has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Select Water Solutions’s peers in the oilfield services segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Noble Corporation’s revenues decreased 10.2% year on year, beating analysts’ expectations by 6.8%, and World Kinect reported revenues up 2.5%, topping estimates by 10.4%. Noble Corporation traded up 8.2% following the results while World Kinect was also up 10.9%.
Read our full analysis of Noble Corporation’s results here and World Kinect’s results here.
There has been positive sentiment among investors in the oilfield services segment, with share prices up 4.1% on average over the last month. Select Water Solutions is up 9.2% during the same time and is heading into earnings with an average analyst price target of $18 (compared to the current share price of $16.53).
ALSO WORTH WATCHING: Nvidia’s Quiet Partner. Nvidia’s chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all.
Every AI server needs specialized infrastructure the chip companies don’t make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE.
