EOG Resources, Inc. EOG is set to report first-quarter 2025 results on May 1, after market close.

In the last reported quarter, its adjusted earnings of $2.74 per share beat the Zacks Consensus Estimate of $2.55, primarily driven by higher production volumes. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

EOG’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 5.95%. This is depicted in the graph below: 

EOG Resources, Inc. Price and EPS Surprise

EOG Resources, Inc. price-eps-surprise | EOG Resources, Inc. Quote

Estimate Trend

The Zacks Consensus Estimate for first-quarter earnings per share of $2.74 has witnessed one downward revision and two upward revisions in the past seven days. The estimated figure suggests a decline of 2.84% from the prior-year reported number.

The Zacks Consensus Estimate for revenues of $5.88 billion indicates a 4.01% decrease from the year-ago recorded figure.

Factors to Consider

EOG Resources is expected to have delivered a stable performance in the first quarter, supported by highly productive acreages in premier oil shale plays like the Permian and Eagle Ford. The company boasts numerous untapped high-quality drilling sites, which strengthen its production outlook and lower risk profile.

According to data from the U.S. Energy Information Administration, the Natural Gas Henry Hub Spot price increased almost 94.6% year over year to $4.30 per thousand cubic feet. This was primarily due to colder winter weather boosting heating demand, supply disruptions from freeze-offs, record U.S. LNG exports tightening domestic supply and increased global demand. The price hike could directly translate into greater cash flow and profitability, supporting the potential for an earnings beat.

Additionally, EOG's drilling motor program has reduced well costs by 6%, with further cost reductions targeted, which could likely enhance profitability.

These factors are anticipated to have supported demand and pricing dynamics, potentially aiding EOG Resources’ quarterly performance.

Earnings Whispers

Our proven model indicates an earnings beat for EOG 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 just the case here, as you will see below.

Earnings ESP: EOG Resources has an Earnings ESP of +0.01%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

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

Other Stocks to Consider

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

Exxon Mobil Corporation XOM currently has an Earnings ESP of +1.62% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

XOM is scheduled to release first-quarter earnings on May 2. The Zacks Consensus Estimate for earnings is pegged at $1.72 per share, suggesting a 16.5% decrease from the prior-year reported figure.

MPLX LP MPLX currently has an Earnings ESP of +3.07% and a Zacks Rank #3.

MPLX is scheduled to release first-quarter earnings on May 6. The Zacks Consensus Estimate for earnings is pegged at $1.06 per share, suggesting an almost 8.16% increase from the prior-year reported figure.

Enbridge Inc. ENB currently has an Earnings ESP of +0.37% and a Zacks Rank #3.

ENB is scheduled to release first-quarter earnings on May 9. The Zacks Consensus Estimate for earnings is pegged at 67 cents per share, indicating a 1.47% decrease from the prior-year reported figure.

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This article originally published on Zacks Investment Research (zacks.com).

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