Ameren Gears Up to Report Q1 Earnings: Here's What to Expect

Ameren Corporation AEE is scheduled to release its first-quarter 2025 results on May 1, after market close.

The company delivered a negative earnings surprise of 2.53% in the last reported quarter. AEE also delivered an average negative earnings surprise of 2.60% in the trailing four quarters. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Factors to Consider Ahead of AEE’s Q1 Results

Ameren Corporation’s service territories witnessed a below-normal temperature pattern for the majority of the first quarter, though some of its territories witnessed above-average temperature patterns in March. The below-normal weather pattern is likely to have boosted electricity demand from AEE’s customers for heating purposes this winter. Meanwhile, the above-average temperature pattern might have partially hurt the same. Such weather patterns are likely to have a favorable impact on AEE’s overall top-line performance.

Strong customer growth at its Ameren Missouri and Ameren Illinois subsidiaries, driven by the increasing data center demand and industrial customer growth, is likely to have added impetus to AEE’s revenues.

Some parts of its service areas witnessed several tornadoes in March, along with severe snowfall in January, which caused outages for some of AEE’s customers and might have damaged its infrastructure. While outages are likely to have hurt sales to some extent, the infrastructural damages are expected to have pushed up its operating expenses for restoration. Higher restoration-related expenses might have weighed on its first-quarter earnings.

Nevertheless, solid revenue expectations, favorable contributions from strategic infrastructure investments, robust rate base growth and the company’s disciplined cost management are likely to have bolstered overall earnings.

AEE’s Q1 Expectations

The Zacks Consensus Estimate for AEE’s revenues is pegged at $1.98 billion, which indicates an increase of 9.2% from the year-ago number.

The Zacks Consensus Estimate for earnings is pegged at $1.08 per share, which calls for an increase of 10.2% from the prior-year quarter’s figure.

What the Zacks Model Unveils for AEE

Our proven model does not conclusively predict an earnings beat for AEE this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as you will see below.

Earnings ESP: AEE 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: Currently, Ameren carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Here, we have mentioned a few players from the same industry that have the right combination of elements to beat earnings in the upcoming releases:

Exelon Corporation EXC is slated to report its first-quarter 2025 results on May 1, before market open. It has an Earnings ESP of +5.83% and a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for EXC’s first-quarter sales is pegged at $6.36 billion, which indicates a 5.3% improvement from the year-ago quarter’s figure. The consensus estimate for first-quarter earnings stands at 78 cents per share, which suggests year-over-year growth of 13%.

American Electric Power AEP is set to report first-quarter 2025 earnings on May 6, before market open. It has an Earnings ESP of +0.54% and carries a Zacks Rank of 3 at present.

The Zacks Consensus Estimate for first-quarter sales is pegged at $5.34 billion, which indicates a 6.7% improvement from the year-ago quarter’s figure. The consensus estimate for first-quarter earnings stands at $1.39 per share, which implies year-over-year growth of 9.5%.

Evergy, Inc. EVRG is set to report its first-quarter 2025 results on May 8, before market open. It has an Earnings ESP of +5.70% and a Zacks Rank of 2 at present.

The Zacks Consensus Estimate for first-quarter sales is pegged at $1.41 billion, which indicates a 6.2% improvement from the year-ago quarter’s figure. The consensus estimate for first-quarter earnings stands at 64 cents per share, which implies year-over-year growth of 18.5%.

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

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