Apache Earnings Preview: Can This Streak Finally End?

Apache (NYSE:APA) will report earnings before markets open on Thursday, May 9th. Apache Corporation is an independent energy company. The Company explores for, develops, and produces natural gas, crude oil, and natural gas liquids. The Company has operations in North America, onshore Egypt, offshore Western Australia, offshore the United Kingdom in the North Sea (North Sea), and onshore Argentina, as well as on the Chilean side of the island of Tierra del Fuego.

Here is your Cheat Sheet to Apache Earnings:

Earnings Expectations: Analysts expect earnings of $2.19 per share on revenues of $4.31 billion. Currently, the company’s P/E ratio stands at 15.00.

Analyst Trends:

Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $2.27 to a profit $2.21. For the current year, the average estimate is a profit of $9.12, which is worse than the estimate ninety days ago.

Earnings Trends:

Here’s how Apache has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 12,390 8,615 12,090 16,890 17,080
Diluted EPS ($) 2.09 -0.87 8.46 11.47 4.92

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 4,297 4,536 3,972 4,179 4,391
Diluted EPS ($) 2.925 2.00 0.86 0.41 1.647

Past Performance:
Apache has missed analyst estimates 4 times in the past four quarters. Shareholders could expect a bust if the company misses estimates.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)