What to Expect When Pioneer Natural Resources (PXD) Reports Earnings Today
NEW YORK (TheStreet) -- Pioneer Natural Resources (PXD) - Get Report is scheduled to release its 2015 third quarter earnings results after the market close this afternoon.
Analysts are expecting the Dallas-based independent oil and gas exploration and production company to report a year over year decline in both earnings per share and revenue for the most recent quarter.
Pioneer Natural Resources has been forecast by analysts surveyed by Thomson Reuters to report a loss of 3 cents per share on revenue of $784.7 million for the three month period ending in September.
The company's earnings came in at $1.35 per share on revenue of $1.51 billion for the 2014 third quarter.
Oil and gas companies have been struggling to deal with the decline in the commodities' prices. Oil prices have been tumbling for more than a year as production levels outweigh demand.
Shares of Pioneer Natural Resources are down by 0.28% to $136.75 in early afternoon trading on Monday.
Separately, TheStreet Ratings team rates PIONEER NATURAL RESOURCES CO as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
We rate PIONEER NATURAL RESOURCES CO (PXD) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins and notable return on equity. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and weak operating cash flow.
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- The current debt-to-equity ratio, 0.32, is low and is below the industry average, implying that there has been successful management of debt levels. Despite the fact that PXD's debt-to-equity ratio is low, the quick ratio, which is currently 0.61, displays a potential problem in covering short-term cash needs.
- Regardless of the drop in revenue, the company managed to outperform against the industry average of 33.1%. Since the same quarter one year prior, revenues fell by 27.2%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- 45.07% is the gross profit margin for PIONEER NATURAL RESOURCES CO which we consider to be strong. Despite the high profit margin, it has decreased significantly from the same period last year. Despite the mixed results of the gross profit margin, PXD's net profit margin of -26.20% significantly underperformed when compared to the industry average.
- Despite any intermediate fluctuations, we have only bad news to report on this stock's performance over the last year: it has tumbled by 25.84%, worse than the S&P 500's performance. Consistent with the plunge in the stock price, the company's earnings per share are down 481.57% compared to the year-earlier quarter. Despite the heavy decline in its share price, this stock is still more expensive (when compared to its current earnings) than most other companies in its industry.
- Net operating cash flow has significantly decreased to $328.00 million or 54.25% when compared to the same quarter last year. In addition, when comparing the cash generation rate to the industry average, the firm's growth is significantly lower.
- You can view the full analysis from the report here: PXD