Chord Energy Q2 Earnings Down, Revenue Declines

Chord Energy reported Q2 adjusted earnings of $1.79 per share, missing FactSet's estimate of $1.94. Revenue fell to $950.3 million, also below the estimated $948.1 million. The company raised its FY forecast and posted higher Q2 production.

Chord Energy Corporation (CHRD) reported its Q2 adjusted earnings of $1.79 per share, missing FactSet's estimate of $1.94. Revenue fell to $950.3 million, also below the estimated $948.1 million. Despite the earnings and revenue miss, the company raised its full-year forecast and posted higher Q2 production. The stock has seen a 9% decline since the beginning of the year compared to the S&P 500's gain of 7.1%.

The earnings report shows an earnings surprise of -4.79%, as compared to the Zacks Consensus Estimate of $1.88 per share. This marks a significant drop from the year-ago quarter, where earnings were $4.69 per share. Revenue was down 8.87% from the year-ago quarter, with revenues of $1.26 billion compared to the current $1.18 billion. Over the last four quarters, Chord Energy has surpassed consensus EPS estimates two times and revenue estimates two times.

The company's Zacks Rank currently stands at #3 (Hold), indicating that the shares are expected to perform in line with the market in the near future. The Zacks Industry Rank for the Oil and Gas - Exploration and Production - United States sector is in the bottom 27% of the 250 plus Zacks industries. Another company in the same industry, Granite Ridge Resources, Inc. (GRNT), is expected to report its Q2 results on August 7.

Investors should keep an eye on management's commentary during the earnings call, as this could significantly impact the stock's immediate price movement. The company's earnings outlook includes current consensus earnings expectations for the coming quarter(s) and how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions.

References:
1. [1] https://finance.yahoo.com/news/chord-energy-corporation-chrd-lags-220003324.html
2. [2] https://www.nasdaq.com/articles/chord-energy-corporation-chrd-lags-q2-earnings-and-revenue-estimates
3. [3] https://www.marketscreener.com/news/chord-energy-q2-adjusted-earnings-revenue-drop-ce7c5edfd98cf721