AES to Release Q3 Earnings: Here's What You Need to Know

The AES Corporation AES is scheduled to release third-quarter 2025 results on Nov. 4, after market close. The company delivered an earnings surprise of 30.8% in the last reported quarter. Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.Factors That Might Have Impacted AES’ Q3 PerformanceThe company is expected to have continued to benefit from its strategic investments focused on infrastructure modernization and grid resilience, which have enhanced operational efficiency and reliability across its service territories. Solid sales growth, ongoing cost-saving initiatives and favorable returns from renewable energy and utility operations likely contributed positively in the to-be-reported quarter.Increasing electricity demand from data centers, driven by artificial intelligence workloads, is expected to have provided additional support to AES’ quarterly earnings. Favorable rate outcomes approved in previous quarters might have further strengthened regulated utility revenues and offset inflationary or cost pressures.The majority of the company’s service territories experienced warmer-than-normal temperature patterns for most of the third quarter. Such a weather pattern is expected to have boosted electricity demand for cooling purposes. This should have boosted the company’s top line in the third quarter.AES’ Q3 ExpectationsThe Zacks Consensus Estimate for earnings is pegged at 74 cents per share, indicating a year-over-year increase of 4.2%.The Zacks Consensus Estimate for revenues is pinned at $3.31 billion, implying 0.7% growth year over year.What Our Quantitative Model PredictsOur proven model predicts an earnings beat for AES this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here as you will see below. The AES Corporation Price and EPS Surprise The AES Corporation price-eps-surprise | The AES Corporation QuoteEarnings ESP: The company’s Earnings ESP is +1.70%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Zacks Rank: Currently, AES carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.Other Stocks to ConsiderInvestors may also consider the following players from the same industry, as these too have the right combination of elements to post an earnings beat this reporting cycle.Xcel Energy XEL is likely to come up with an earnings beat when it reports third-quarter results on Oct. 30. It has an Earnings ESP of +0.38% and a Zacks Rank #3 at present.XEL’s long-term (three to five years) earnings growth rate is 7.44%. The Zacks Consensus Estimate for earnings is pinned at $1.31 per share, which implies a year-over-year increase of 4.8%. Eversource Energy ES is likely to come up with an earnings beat when it reports third-quarter results on Nov. 4. It has an Earnings ESP of +5.13% and a Zacks Rank #3 at present.ES’ long-term earnings growth rate is 5.86%. The Zacks Consensus Estimate for earnings is pinned at $1.12 per share, indicating a year-over-year decrease of 0.9%.Alliant Energy LNT is likely to come up with an earnings beat when it reports third-quarter results on Nov. 6. It has an Earnings ESP of +0.43% and a Zacks Rank #3 at present.LNT’s long-term earnings growth rate is 6.57%. The Zacks Consensus Estimate for earnings is pinned at $1.17 per share, indicating a year-over-year increase of 1.7%. #1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Xcel Energy Inc. (XEL): Free Stock Analysis Report The AES Corporation (AES): Free Stock Analysis Report Alliant Energy Corporation (LNT): Free Stock Analysis Report Eversource Energy (ES): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks