Fortis Inc. (NYSE:FTS) is a leading utility company in the Zacks Utility - Electric Power industry. It is known for its consistent performance and ability to surpass earnings estimates. Fortis operates in the electric power sector, providing essential services to millions of customers. The company competes with other major utility providers, striving to maintain its strong market position.
FTS is set to release its quarterly earnings on February 14, 2025. Wall Street estimates the earnings per share (EPS) to be $0.57, with projected revenue of approximately $2.34 billion. Despite a decline in revenues, Fortis is expected to report an increase in earnings for the quarter ended December 2024. The market is keenly observing whether Fortis can exceed the expected EPS, which could positively impact the stock price.
Fortis has a history of outperforming earnings estimates, as highlighted by its recent performance. In the last two quarters, Fortis delivered an average earnings surprise of 4.67%. In the most recent quarter, the company reported earnings of $0.62 per share, surpassing the Zacks Consensus Estimate of $0.59 per share, marking a 5.08% surprise. This track record suggests a favorable outlook for the upcoming earnings report.
The company's financial metrics provide insight into its market valuation. Fortis has a price-to-earnings (P/E) ratio of approximately 18.69, indicating the price investors are willing to pay for each dollar of earnings. Its price-to-sales ratio is about 2.72, reflecting the market's valuation of its sales. The enterprise value to sales ratio is around 5.44, showing the company's total valuation relative to its sales.
Fortis's financial health is further illustrated by its debt-to-equity ratio of 1.42, indicating the proportion of debt used to finance its assets relative to equity. The current ratio is approximately 0.74, suggesting the company's ability to cover its short-term liabilities with its short-term assets. These metrics, along with an earnings yield of about 5.35%, provide a comprehensive view of Fortis's financial standing.
