CenterPoint Energy to Post Q3 Earnings: What's in Store for the Stock?

CenterPoint Energy CNP is scheduled to release third-quarter 2025 results on Oct. 23, before market open. The company delivered a negative earnings surprise of 14.7% 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 CNP’s Q3 PerformanceCenterPoint Energy’s increased investments are likely to have strengthened its infrastructure and improved overall service reliability. These ongoing reliability improvement initiatives — including infrastructure upgrades, modernization of equipment, and grid resilience efforts — have helped the company reduce service outage minutes and enhance operational efficiency. As a result, these improvements are expected to have contributed positively to CenterPoint Energy’s performance in the third quarter.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.Rising industrial customer demand, data centers and transportation electrification projects boosting electricity demand are also likely to have contributed to the company’s overall revenues in the soon-to-be-reported quarter.However, higher total operating expenses might have offset some of the positives in the third quarter.CNP’s Q3 ExpectationsThe Zacks Consensus Estimate for earnings is pegged at 47 cents per share, indicating a year-over-year increase of 51.6%.The Zacks Consensus Estimate for revenues is pinned at $1.98 billion, implying a 6.6% improvement year over year.The Zacks Consensus Estimate for total electric throughput is pinned at 33,438.9 gigawatt-hours, up 2.5% from the figure registered in the year-ago quarter. The Zacks Consensus Estimate for total natural gas throughput is pinned at 108.61 billion cubic feet, up 1.5% from the figure registered in the year-ago quarter.What Our Quantitative Model PredictsOur proven model does not predict an earnings beat for CenterPoint Energy 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 not the case here as you will see below. CenterPoint Energy, Inc. Price and EPS Surprise CenterPoint Energy, Inc. price-eps-surprise | CenterPoint Energy, Inc. QuoteEarnings ESP: The company’s Earnings ESP is -3.19%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Zacks Rank: Currently, CenterPoint Energy carries a Zacks Rank #2. You can see the complete list of today's Zacks #1 Rank stocks here.Stocks to ConsiderInvestors may consider the following players from the same industry, as these have the right combination of elements to post an earnings beat this reporting cycle.FirstEnergy Corporation FE is likely to come up with an earnings beat when it reports third-quarter results on Oct. 22. It has an Earnings ESP of +5.84% and a Zacks Rank #3 at present.FE’s long-term (three to five years) earnings growth rate is 5.85%. The Zacks Consensus Estimate for earnings is pinned at 73 cents per share, indicating a year-over-year decrease of 14.1%.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 +0.68% and a Zacks Rank #3 at present.XEL’s long-term earnings growth rate is 7.44%. The Zacks Consensus Estimate for earnings is pinned at $1.33 per share, which implies a year-over-year increase of 6.4%. 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 +6.31% and a Zacks Rank #3 at present.ES’ long-term earnings growth rate is 5.4%. The Zacks Consensus Estimate for earnings is pinned at $1.11 per share, indicating a year-over-year decrease of 1.8%. 5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They includeStock #1: A Disruptive Force with Notable Growth and ResilienceStock #2: Bullish Signs Signaling to Buy the DipStock #3: One of the Most Compelling Investments in the MarketStock #4: Leader In a Red-Hot Industry Poised for GrowthStock #5: Modern Omni-Channel Platform Coiled to SpringMost of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.Download Atomic Opportunity: Nuclear Energy's Comeback free today.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 FirstEnergy Corporation (FE): Free Stock Analysis Report CenterPoint Energy, Inc. (CNP): 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