Air Products and Chemicals, Inc. (APD): The Earnings Game

48 days have passed by since the last earnings report for Air Products and Chemicals, Inc. (NYSE:APD) and the new quarterly results look set to arrive in 50 days. The shares of APD at the moment are trading at a volume of 2.33 million, which compares with its normal daily standard volume of 985315 shares. This has led to the shares of the company declining by -1.19%, currently exchanging hands at $213.78 a share. APD stock has been up by $18.69 (-8.04%) ever since it reached its 52-week high of $232.47 back in July 30, 2019. It has progressed below its 50-day moving average of $225.96 and is down -5.22% over the past week. The stock has added 0.3% since the last one arrived so the question here is that will the upbeat trend in that time frame continue leading up to its next earnings release, or is the APD share price due for a correction?

Air Products and Chemicals, Inc. (APD) Forecasts And Latest Quarter Earnings

Ahead of their fiscal fourth-quarter to be released on Thursday, Oct 31, 2019, 17 analysts who are covering the company are estimating that it will record a profit of $2.3 per share, with analysts having different outlooks from $2.26 to $2.35. The current agreed outlook, when compared to the profit recorded last year, is at $2 a share, thus an increase of 15% is expected. The profit view for a complete financial year for Air Products and Chemicals, Inc. is expected to be around $8.23 in current year, a decline of nearly 10.47% from last year which was $7.45.

Analyzing The Earnings History Of Air Products and Chemicals, Inc. (NYSE:APD)

In the past few years, the APD stock has been known to miss the Wall Street’s earnings projection. The company missed 16% of the time, according to the data pulled on their earnings, was able to meet predictions on 1 occasions and topped expectations 9 times. Looking at the past trend, the price of Air Products and Chemicals, Inc. shares had risen following the release of their earnings in 20 of the last 38 quarters.

Looking back, here is how Air Products and Chemicals, Inc. (APD) stock reacted to earnings misses and beats. It gave investors reason to be bullish with the price going down after 0 of the last four earnings reports. The shares of Air Products and Chemicals, Inc. recorded 1.24%, 1.4%, 2.82% and 0.46%, respectively, on the first day of past earnings releases. After a week of earnings reports, the changes were 1.52%, 4.64%, 5.04% and 0.08%. Their post-earnings price movements have resulted in an average increase of 1.48% and an average increase of 2.82% in Air Products and Chemicals, Inc. on next day and 7th day, sequentially. APD’s one month stock performance led to its shares declining by -7% with a return of 29.68% witnessed over the last 52 weeks.

Air Products and Chemicals, Inc. (APD) Post Earnings Announcement Drift (PEAD)

Back on July 25, 2019, Air Products and Chemicals, Inc. (NYSE:APD) released its Q3 results, in which it recorded EPS of $2.17 that exceeded consensus estimates of $2.15. After the earnings were reported, the price of APD stock kicked off the session at $219.58 and remained in a range of $224 to $227.84 on the first day. The shares were priced at $227.65 at the close with a total volume of shares being 1292449.

On April 24, 2019, the Q2 earnings report was disclosed with EPS of $1.92. This was above the estimation of $1.87 per share. The stock price range of APD was between $197.45 and $201.97 on the first-day post announcement, after opening the day at $196.16. The session came to close at $199.42 and there was a total volume of 1741267 shares.

January 25, 2019 was the day when its Q1 results were unveiled. The earnings came in at $1.86, missing the projected $1.87 per share. The very next day, APD stock opened at $158 while staying in a range of $160 to $161.9. At the end, it moved to $160.91 a total volume of shares been 2059950.

In the year-ago Q4 earnings on November 06, 2018, the company saw profit per share of $2. That was better than the $1.99 analysts had expected. Air Products and Chemicals, Inc. share price started at $151.85 on the first full trading day post-earning and then exchanged hands between $155.41 and $158.28 throughout the session. The closing price of $158.09 came on the back of 1813880 shares in volume.