It has been about a month since the last earnings report for EQT Corporation (EQT). Shares have lost about 1.2% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is EQT due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent drivers for EQT Corporation before we dive into how investors and analysts have reacted as of late.
EQT's Q2 Earnings Top Estimates, Revenues Increase Y/Y
EQT Corporation reported second-quarter 2025 adjusted earnings from continuing operations of 45 cents per share, which beat the Zacks Consensus Estimate of 44 cents. The bottom line increased from the year-ago reported loss of 8 cents.
Adjusted operating revenues increased to $1,599 million from $1,183 million in the prior-year quarter. However, the top line missed the Zacks Consensus Estimate of $1,793 million.
The strong quarterly earnings were driven by higher sales volume and increased average realized prices.
Production
Sales volume increased to 568 billion cubic feet equivalent (Bcfe) from the year-ago level of 508 Bcfe. The reported figure missed our estimate of 569 Bcfe.
Natural gas sales volume was 534.4 Bcf, up from 474.1 Bcf in the year-ago quarter. The figure missed our estimate of 535.3 Bcf.
The total liquid sales volume was 5,631 thousand barrels (MBbls), up from the year-ago level of 5,573 MBbls. The figure was below our projection of 5,660.6 MBbls.
Commodity Price Realizations
The average realized price was $2.81 per thousand cubic feet of natural gas equivalent (Mcfe), up from the year-ago figure of $2.33.
The average natural gas price, including cash-settled derivatives, was $2.69 per Mcf, which increased year over year from $2.16.
The natural gas sales price was $3.63 per Mcf, higher than $2.02 recorded a year ago.
However, the oil price was $51.70 per barrel compared with the year-ago figure of $61.96, and our estimate for the same was pinned at $47.19.
Expenses
Total operating expenses were $1.42 billion, higher than $949.5 million reported in the prior-year quarter.
Gathering expenses totaled 8 cents per Mcfe, down from the year-ago level of 59 cents. Transmission expenses totaled 45 cents per Mcfe, up from 35 cents recorded a year ago. Lease operating expenses amounted to 9 cents, flat year over year.
Cash Flows
EQT’s adjusted operating cash flow totaled $918 million in the reported quarter, up from $405 million a year ago. The free cash flow totaled $340 million, up from a negative free cash flow of $171 million in the year-ago period.
Capex & Balance Sheet
Total capital expenditure was $554 million, down from $576 million reported a year ago.
As of June 30, 2025, the company had cash and cash equivalents of $555 million and net debt worth $7.76 billion.
Guidance
For the third quarter of 2025, EQT anticipates total sales volume to be in the band of 590-640 Bcfe. For 2025, the company has raised its total sales volume forecast to 2,300-2,400 Bcfe, suggesting an increase of 100 Bcfe from its earlier projection.
Capital expenditures are projected to be in the band of $2,300-$2,450 million for the full year.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended downward during the past month.
The consensus estimate has shifted -10.9% due to these changes.
VGM Scores
Currently, EQT has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of C on the value side, putting it in the middle 20% for value investors.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, EQT has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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EQT Corporation (EQT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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