Brokerages Expect Covanta Holding Corp (NYSE:CVA) Will Post Quarterly Sales of $449.93 Million

Equities analysts predict that Covanta Holding Corp (NYSE:CVA) will announce $449.93 million in sales for the current quarter, according to Zacks Investment Research. Three analysts have provided estimates for Covanta’s earnings, with the lowest sales estimate coming in at $437.80 million and the highest estimate coming in at $457.00 million. Covanta reported sales of $467.00 million in the same quarter last year, which indicates a negative year over year growth rate of 3.7%. The firm is expected to issue its next quarterly earnings results on Thursday, July 23rd.

On average, analysts expect that Covanta will report full year sales of $1.86 billion for the current financial year, with estimates ranging from $1.84 billion to $1.89 billion. For the next year, analysts forecast that the firm will report sales of $1.90 billion, with estimates ranging from $1.85 billion to $1.94 billion. Zacks’ sales averages are an average based on a survey of sell-side analysts that that provide coverage for Covanta.

Covanta (NYSE:CVA) last released its quarterly earnings results on Thursday, May 7th. The energy company reported ($0.24) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.22) by ($0.02). The business had revenue of $468.00 million for the quarter, compared to the consensus estimate of $458.18 million. Covanta had a negative net margin of 1.43% and a negative return on equity of 7.34%. The firm’s revenue for the quarter was up 3.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.03 EPS.

A number of research firms recently issued reports on CVA. ValuEngine upgraded shares of Covanta from a “hold” rating to a “buy” rating in a research note on Wednesday, March 18th. Goldman Sachs Group lowered shares of Covanta from a “buy” rating to a “neutral” rating and lowered their target price for the company from $17.00 to $10.00 in a research note on Thursday, April 2nd. UBS Group upgraded shares of Covanta from a “neutral” rating to a “buy” rating and lowered their target price for the company from $14.00 to $13.00 in a research note on Wednesday, May 13th. BMO Capital Markets lowered their target price on shares of Covanta to $7.00 and set a “market perform” rating on the stock in a research note on Sunday, April 19th. Finally, Oppenheimer reiterated a “buy” rating and issued a $10.00 target price on shares of Covanta in a research note on Friday. Six research analysts have rated the stock with a hold rating and four have given a buy rating to the stock. The stock has an average rating of “Hold” and an average target price of $11.31.

In related news, Director Robert S. Silberman purchased 20,000 shares of the firm’s stock in a transaction on Friday, March 13th. The shares were bought at an average cost of $9.71 per share, for a total transaction of $194,200.00. Following the transaction, the director now directly owns 120,000 shares of the company’s stock, valued at approximately $1,165,200. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Company insiders own 11.10% of the company’s stock.

Several institutional investors have recently modified their holdings of the company. Sunbelt Securities Inc. acquired a new stake in shares of Covanta during the 4th quarter valued at about $2,597,000. Victory Capital Management Inc. boosted its position in shares of Covanta by 3.2% during the 4th quarter. Victory Capital Management Inc. now owns 22,962 shares of the energy company’s stock valued at $341,000 after acquiring an additional 715 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank boosted its position in shares of Covanta by 10.6% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 10,429 shares of the energy company’s stock valued at $155,000 after acquiring an additional 1,000 shares in the last quarter. Amalgamated Bank boosted its position in shares of Covanta by 5.1% during the 4th quarter. Amalgamated Bank now owns 22,032 shares of the energy company’s stock valued at $327,000 after acquiring an additional 1,060 shares in the last quarter. Finally, CWM Advisors LLC boosted its position in shares of Covanta by 10.0% during the 4th quarter. CWM Advisors LLC now owns 11,718 shares of the energy company’s stock valued at $174,000 after acquiring an additional 1,068 shares in the last quarter. Institutional investors and hedge funds own 72.94% of the company’s stock.

Shares of Covanta stock traded up $0.01 during midday trading on Tuesday, reaching $8.70. 868,607 shares of the company’s stock traded hands, compared to its average volume of 1,380,720. The company has a market cap of $1.15 billion, a price-to-earnings ratio of -41.43 and a beta of 1.19. The company’s 50 day simple moving average is $7.78 and its 200 day simple moving average is $12.50. The company has a debt-to-equity ratio of 8.35, a quick ratio of 1.12 and a current ratio of 1.12. Covanta has a 52 week low of $6.57 and a 52 week high of $18.38.

The business also recently declared a quarterly dividend, which will be paid on Friday, July 10th. Shareholders of record on Friday, June 26th will be given a $0.08 dividend. The ex-dividend date of this dividend is Thursday, June 25th. This represents a $0.32 annualized dividend and a yield of 3.68%. Covanta’s dividend payout ratio is 1,428.57%.

About Covanta

Covanta Holding Corporation, through its subsidiaries, provides waste and energy services to municipal entities primarily in the United States and Canada. It owns and operates infrastructure for the conversion of waste to energy, as well as engages in related waste transport and disposal, and other renewable energy production businesses.

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