NextEra Energy Partners, LP NEP is scheduled to release fourth-quarter 2024 results on Jan. 24, before market open. The firm delivered a negative earnings surprise of 184.3% in the last reported quarter.

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

Key Factors That May Impact NEP Stock's Q4 Results

The firm’s fourth-quarter earnings are expected to have benefited from the continued expansion of its high-quality portfolio of renewable energy sources.

It is also expected to have utilized funds in repayment of debt, which might have a positive impact on its results.

NEP’s quarterly earnings are likely to have gained from its focus on investing in long-term contracted clean energy assets with attractive cash flows.

However, higher depreciation and amortization expenses might have offset some positives.

Q4 Expectations

The Zacks Consensus Estimate for earnings is pegged at 52 cents per unit, implying a year-over-year increase of 248.6%.

The Zacks Consensus Estimate for revenues is pinned at $368.65 million, indicating an increase of 58.9% year over year.

What Our Quantitative Model Predicts for NEP Stock

Our proven model does not predict an earnings beat for NextEra Energy Partners 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.

NextEra Energy Partners, LP Price and EPS Surprise

NextEra Energy Partners, LP price-eps-surprise | NextEra Energy Partners, LP Quote

Earnings ESP: NEP’s Earnings ESP is -28.16%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, the firm carries a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks here.

Stocks to Consider

Here are a few players from the same sector that have the right combination of elements to come up with an earnings beat this reporting cycle.

Nextracker Inc. NXT is expected to post an earnings beat when it announces fourth-quarter results on Jan. 28, after market close. It has an Earnings ESP of +12.96% and a Zacks Rank #3 at present.

The Zacks Consensus Estimate for fourth-quarter earnings is pinned at 58 cents per share. It delivered an average earnings surprise of 62.8% in the trailing four quarters.

Energy Transfer ET is expected to come up with an earnings beat when it reports fourth-quarter results on Feb. 11, after market close. It has an Earnings ESP of +9.09% and a Zacks Rank #3 at present.

ET’s long-term (three to five years) earnings growth rate is 26.18%. The Zacks Consensus Estimate for fourth-quarter earnings is pinned at 36 cents per share.

California Resources CRC is likely to come up with an earnings beat when it announces fourth-quarter results on March 3, before market open. It has an Earnings ESP of +2.59% and a Zacks Rank #1 at present.

The Zacks Consensus Estimate for fourth-quarter earnings has increased 1% to 97 cents per share in the past 30 days. The company delivered an average earnings surprise of 13.1% in the trailing four quarters.