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Arch Resources (ARCH) to Report Q2 Earnings: What's in Store?

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Arch Resources (ARCH - Free Report) is scheduled to release second-quarter 2023 earnings on Jul 27, before the market opens. This firm’s earnings surprise was a negative 4.2% in the last reported quarter.

Let’s see how things have shaped up before the upcoming earnings announcement.

Factors to Note

Stable performance from Arch Resources’ large-scale coking coal mine, implementation of cost control measures and buyback of shares are likely to have boosted earnings in the second quarter. Its earnings are likely to have benefited from the expected 10% increase in coking coal shipments. However, a decrease in coking coal selling price from the year-ago levels might have adversely impacted revenues.

Arch Resources’ thermal segment performance is likely to have been hurt by geological challenges at the West Elk mine in Colorado, which might have had a negative impact on second-quarter earnings.

Expectations

The Zacks Consensus Estimate for second-quarter revenues and earnings per share is pegged at $633 million and $5.82, respectively. The bottom-line figure indicates a decrease of 69.8% from the year-ago quarter.

What Our Quantitative Model Predicts

Our proven model does not conclusively predict an earnings beat for Arch Resources this time around. 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. That is not the case here, as you will see below. You can see the complete list of today's Zacks #1 Rank stocks here.

Arch Resources Inc. Price and EPS Surprise

Arch Resources Inc. Price and EPS Surprise

Arch Resources Inc. price-eps-surprise | Arch Resources Inc. Quote

Earnings ESP: The company’s Earnings ESP is 0.00%.

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

Zacks Rank: Currently, Arch Resources carries a Zacks Rank #5 (Strong Sell).

Stocks to Consider

Investors can consider the following players from the same sector that have the right combination of elements to post an earnings beat for the to-be-reported quarter.

Warrior Met Coal (HCC - Free Report) is set to report second-quarter 2023 results on Aug 7, after the market closes. It has an Earnings ESP of +0.5% and a Zacks Rank of 3.

TC Energy (TRP - Free Report) is scheduled to report second-quarter 2023 results on Jul 28 before the market opens. It has an Earnings ESP of +14.72% and a Zacks Rank of 2.

Constellation Energy Corporation (CEG - Free Report) is set to report second-quarter 2023 results on Aug 3 before the market opens. It has an Earnings ESP of +4.79% and a Zacks Rank of 2, at present.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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