MPLX LP MPLX is set to report fourth-quarter 2024 results on Feb. 4, before the opening bell.

In the last reported quarter, the diversified, large-cap master limited partnership’s adjusted earnings of $1.01 per share missed the Zacks Consensus Estimate of $1.06 due to increased general and administrative expenses.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

The midstream player beat on earnings in two of the trailing four quarters and missed the mark twice, delivering an average surprise of 6.85%. This is depicted in the graph below:

MPLX LP Price and EPS Surprise

MPLX LP price-eps-surprise | MPLX LP Quote

MPLX’s Estimate Trend

The Zacks Consensus Estimate for fourth-quarter earnings per share of $1.04 has witnessed one upward revision in the past seven days. The consensus estimate implies a decline of 5.45% from the year-ago reported number.

The Zacks Consensus Estimate for revenues of $3.08 billion indicates a 3.75% increase from the year-ago reported figure.

Factors to Consider for MPLX

As a major midstream energy player, MPLX's business is largely insulated against oil and gas price volatility. Shippers typically commit to long-term contracts for midstream assets, minimizing volume and price risks. As a result, MPLX is expected to have generated stable and predictable cash flows in the fourth quarter.

However, MPLX’s profitability from transporting refined oil products might have been under pressure due to a recent decline in refining margins, as reflected in lower crack spreads. This downturn can be attributed to a rising global refining capacity, particularly in Asia and the Middle East, which has outpaced demand growth. As a result, refiners are facing weaker margins, leading to lower throughput volumes and reduced demand for MPLX’s transportation services. If refining margins remain compressed, MPLX’s earnings from this segment might have faced sustained pressure.

Moreover, advancements in renewable energy technologies — such as more efficient solar power and electric vehicles — could gradually erode demand for fossil fuels. This transition poses a long-term risk to MPLX, as the need for its infrastructure may diminish with the shift from traditional energy sources.

Earnings Whispers

Our proven model doesn’t predict an earnings beat for MPLX this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you will see below.

Earnings ESP: MPLX has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The partnership currently carries a Zacks Rank #3 (Hold).

Stocks to Consider

Here are some stocks that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.

EQT Corporation EQT currently has an Earnings ESP of +4.50% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

EQT is scheduled to release fourth-quarter earnings on Feb. 18. The Zacks Consensus Estimate for earnings is pegged at $0.50 per share, suggesting a 4.17% increase from the prior-year reported figure.

Antero Resources Corporation (AR) presently has an Earnings ESP of +0.41% and a Zacks Rank #2.

Antero Resources is scheduled to release fourth-quarter earnings on Feb. 12. The Zacks Consensus Estimate for earnings is pegged at 31 cents per share, suggesting a 40.9% increase from the prior-year reported figure.

Range Resources Corporation RRC currently has an Earnings ESP of +1.96% and a Zacks Rank #2.

Range Resources is scheduled to release fourth-quarter earnings on Feb. 25. The Zacks Consensus Estimate for RRC’s earnings is pegged at $0.55 per share, suggesting a 12.7% decline from the prior-year reported figure.

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Antero Resources Corporation (AR) : Free Stock Analysis Report

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