TotalEnergies to Report Q1 Earnings: What's in Store for the Stock?

TotalEnergies SE TTE is set to report its first-quarter 2025 results on April 30, before the opening bell. The company reported an earnings surprise of 1.60% in the last reported quarter. See the Zacks Earnings Calendar to stay ahead of market-making news)

What Does Our Model Predict for TTE Stock?

Per our proven model, stocks with a combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) are likely to beat on earnings. But that is not the case here.

At present, TotalEnergies has an Earnings ESP of -0.27% and a Zacks Rank of 3.

You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

TotalEnergies SE Sponsored ADR Price and EPS Surprise

TotalEnergies SE Sponsored ADR price-eps-surprise | TotalEnergies SE Sponsored ADR Quote

TTE’s Q1 Expectation

TotalEnergies expects first-quarter 2025 production volume in the range of 2.5-2.55 thousand barrels of oil equivalents per day. The guidance takes into consideration benefits from the ramp-ups of 2024 start-ups, the closing of acquisitions of SapuraOMV in Malaysia and interest in Eagle Ford shale gas plays in Texas during the quarter.

The Zacks Consensus Estimate for earnings and revenues is pegged at $1.88 per share and $45.5 billion, respectively. The bottom and top-line estimates indicate a decline of 12.15% and 19.5%, respectively, from the year-ago quarter.

Factors to Shape TotalEnergy’s Q1 Earnings

TotalEnergies, a multi-energy company, continues to pursue strategic acquisitions and partnerships in high-potential regions while divesting non-core assets that no longer align with its long-term goals. With these strategies, the company has maintained its focus on streamlining operations. Contributions from newly acquired assets, recent startups and existing organic operations are expected to have positively impacted its first-quarter performance.

TTE has been strengthening its position in natural gas, liquefied natural gas and low-carbon electricity. The company continues to supply an increasing volume of clean energy, which is likely to have boosted its earnings.

TotalEnergies has the minimum exposure among oil super majors to the mature region of North America. The company’s upstream assets have lower natural decline rates and longer productive lives. This has given TTE a significant competitive edge against its peers. The strong production volumes from global assets are expected to have boosted its first-quarter performance.

Yet, TotalEnergies’ global presence exposes it to competition from national and international oil and gas majors. It has to compete with large oil and gas integrated companies for acquiring hydrocarbon assets and licenses for the exploration and production of oil and natural gas, as well as for the sales of manufactured products based on crude and refined oil. Currency fluctuations and inflationary trends also pose financial risks, especially in emerging markets where TotalEnergies has a growing presence.

Stocks to Consider

Investors can consider a few stocks from the same sector before the release, as our model shows that these have the right combination of elements to beat on earnings this season.

Vermilion Energy Inc. VET currently has a Zacks Rank #2 and an Earnings ESP of +70.73%. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for VET’s first-quarter 2025 earnings per share reflects whopping year-over-year growth of 2,000%.

Veren Inc. VRN presently has a Zacks Rank #2 and an Earnings ESP of +13.79%.

The Zacks Consensus Estimate for VRN’s first-quarter 2025 earnings per share reflects year-over-year growth of 31.82%.

Antero Resources Corporation AR has a Zacks Rank #2 and an Earnings ESP of +0.26% at present. The Zacks Consensus Estimate for AR’s first-quarter 2025 earnings per share reflects whopping year-over-year growth of 1,171.43%.

 

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

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