GrafTech International (EAF) May Report Negative Earnings: Know the Trend Ahead of Next Week's Release

Core Viewpoint - GrafTech International (EAF) is anticipated to report a year-over-year increase in earnings despite lower revenues, which could significantly influence its near-term stock price depending on the actual results compared to estimates [1][2]. Earnings Expectations - The earnings report is scheduled for release on February 7, 2025, and could lead to a stock price increase if the results exceed expectations, while missing estimates may result in a decline [2]. - The consensus estimate indicates a quarterly loss of $0.14 per share, reflecting a year-over-year change of +48.2$136.28 million, down 0.6% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating that analysts have not significantly altered their initial projections [4]. - The Zacks Earnings ESP model suggests that the Most Accurate Estimate aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% for GrafTech [10]. Zacks Rank and Predictive Power - GrafTech currently holds a Zacks Rank of 4, which complicates the prediction of an earnings beat based on the combination of a negative Earnings ESP [11]. - Historical performance shows that GrafTech has beaten consensus EPS estimates three out of the last four quarters, with a recent surprise of +7.14% when it reported a loss of $0.13 instead of the expected loss of$0.14 [12][13]. Conclusion - While GrafTech does not appear to be a strong candidate for an earnings beat, investors should consider other factors before making investment decisions related to the stock ahead of the earnings release [16].