Waste and recycling services provider Quest Resource (NASDAQ: QRHC) will be reporting earnings tomorrow after the bell. Here’s what you need to know.
Quest Resource missed analysts’ revenue expectations by 5% last quarter, reporting revenues of $69.97 million, flat year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ EBITDA and EPS estimates.
Is Quest Resource a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Quest Resource’s revenue to be flat year on year at $72.04 million, improving from the 2% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.05 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Quest Resource has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Quest Resource’s peers in the waste management segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Montrose delivered year-on-year revenue growth of 14.5%, beating analysts’ expectations by 6%, and Waste Connections reported revenues up 7.5%, in line with consensus estimates. Montrose traded up 17.7% following the results while Waste Connections’s stock price was unchanged.
Read our full analysis of Montrose’s results here and Waste Connections’s results here.
There has been positive sentiment among investors in the waste management segment, with share prices up 9.9% on average over the last month. Quest Resource is up 1% during the same time and is heading into earnings with an average analyst price target of $6.83 (compared to the current share price of $2.49).
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