Covanta Holding Earnings: Here’s Why the Stock is Up Now

Covanta Holding Corporation (NYSE:CVA) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 0.1%.

Covanta Holding Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 33.33% to $0.10 in the quarter versus EPS of $0.15 in the year-earlier quarter.

Revenue: Rose 0.73% to $413 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Covanta Holding Corporation reported adjusted EPS income of $0.10 per share. By that measure, the company beat the mean analyst estimate of $0.06. It beat the average revenue estimate of $402.6 million.

Quoting Management: Anthony Orlando, President and Chief Executive Officer stated, “We achieved solid results this quarter. Operating performance was in line with our expectations and key financial metrics came in slightly better than expected, as we had a modest benefit from a power purchase agreement buyout. Furthermore, I’m pleased with the progress on all of our organic growth initiatives and look forward to a strong second half of the year.”

Key Stats (on next page)…

Revenue increased 10.72% from $373 million in the previous quarter. EPS increased to $0.10 in the quarter versus EPS of $-0.21 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.24 to a profit $0.29. For the current year, the average estimate has moved down from a profit of $0.46 to a profit of $0.42 over the last ninety days.

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