Earnings Previews: CSX, Freeport-McMoRan, Procter & Gamble, Regions Financial, Schlumberger

For the first quarter, analysts have forecast revenue at $3.58 billion, which would be down 3.9% sequentially but up 5.0% year over year. Adjusted EPS are forecast at $0.43, down 12.5% sequentially and up by 10.3% year over year. For the full fiscal year, analysts currently forecast EPS of $1.87, down 1.5% year over year, and revenue of $ 14.6 billion, down 1.7%.

CSX stock trades at 16.3 times expected 2023 EPS, 15.0 times estimated 2024 EPS of $2.09 and 14.1 times estimated 2025 earnings of $2.15 per share. The stock’s 52-week trading range is $25.80 to $38.17. The company pays an annual dividend of $0.44 (yield of 1.45%). Total shareholder return over the past year is negative 11.35%.

Freeport-McMoRan

Over the past 12 months, shares of copper and gold miner Freeport-McMoRan Inc. (NYSE: FCX) have fallen by more than 15%. For the year to date, however, shares have added about 13%. Look for its earnings report before markets open on Friday.

Gold prices have risen by about 8.3%, and copper prices are up about 8% so far this year. Commodity trading giant Trafigura has forecast a 2023 price jump of 10% in the price of copper, Freeport’s biggest revenue producer. The trick is going to be reining in ever-higher costs that rose more than 11% at Freeport last year.

Of 20 analysts covering the stock, nine have a Buy or Strong Buy rating and 10 more have Hold ratings. At a share price of around $43.00, the implied upside to a median price target of $47.00 is 9.3%. At the high price target of $60.00, the upside potential reaches 39.5%.

First-quarter revenue is forecast at $5.25 billion, down 8.9% sequentially and by 9.3% year over year. Adjusted EPS are forecast at $0.45, down 13.4% sequentially and nearly 60% lower year over year. For the full 2023 fiscal year, analysts are expecting EPS of $1.99, down 18.4%, on sales of $23.39 billion, up 2.7%.

The stock trades at 21.2 times expected 2023 EPS, 18.8 times estimated 2024 earnings of $2.25 and 15.2 times estimated 2025 earnings of $2.79. The stock’s 52-week range is $24.80 to $50.92. The company pays an annual dividend of $0.60 (yield of 1.42%). Total shareholder return for the past 12 months was negative 15.16%.

Procter & Gamble

Dow stock Procter & Gamble Inc. (NYSE: PG) has posted a share price drop of about 3.5% over the past 12 months. From a 52-week low posted in early October last year, shares have risen by more than 24%. The world’s largest consumer products maker has history and dozens of world-class brands to lean on if times should get worse. People have to eat, after all, and all the AI development in the world will not change that. P&G has raised its dividend payment every year for 66 consecutive years, a true Aristocrat. It reports quarterly results early Friday morning.

Of 26 analysts covering the stock, 18 have a Buy or Strong Buy rating and seven have Hold ratings. At a share price of around $151.40, the upside potential based on a median price target of $160.00 is 2.7%. At the high price target of $172.00, the implied gain is 13.6%.

Analysts expect P&G to report fiscal 2023 third-quarter revenue of $20.34 billion, down 7.1% sequentially but up by 1.3% year over year. Adjusted EPS are pegged at $1.32, down 16.8% sequentially and down a penny year over year. For the full fiscal year ending in June, current estimates call for EPS of $5.86, up 0.8%, on sales of $80.94 billion, up 0.9%.

P&G shares trade at 25.8 times expected 2023 EPS, 23.8 times estimated 2024 earnings of $6.35 and 21.8 times estimated 2025 earnings of $6.94 per share. The stock’s 52-week range is $122.18 to $164.90. P&G pays an annual dividend of $3.76 (yield of 2.49%). Total shareholder return for the past year was negative 1.31%.