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Sociedad Quimica (SQM) to Post Q1 Earnings: What's in the Cards?

Zacks Equity Research
·4-min read

Sociedad Quimica y Minera de Chile S.A. SQM will release first-quarter 2022 results after the closing bell on May 18.

The company missed the Zacks Consensus Estimate for earnings in two of the last four quarters while beat once and posted in-line result on the other occasion. It has a trailing four-quarter negative earnings surprise of around 3.5%, on average. It posted a positive earnings surprise of 16.5% in the last reported quarter. The company’s first-quarter results are likely to have benefited from higher demand and prices.

Shares of Sociedad Quimica have gained 78.1% in the past year compared with 52.3% rise of the industry.

Zacks Investment Research
Zacks Investment Research


Image Source: Zacks Investment Research



Let’s see how things are shaping up for this announcement.

What do the Estimates Say?

The Zacks Consensus Estimate for first-quarter sales for Sociedad Quimica is currently pegged at $1,284 million, which suggests a rise of around 142.9% year over year.

Some Factors to Watch For

The company is likely to have gained from higher realized prices and strong demand in the quarter to be reported. Higher sales volumes in lithium, specialty plant nutrition, potassium chloride, iodine and potassium businesses are expected to have aided its top line and margins in the quarter.

The expansion of lithium operations is expected to have supported the company’s lithium sales volumes. Strong demand and limited supply are also likely to have boosted lithium prices in the March quarter. Iodine volumes are also expected to have been supported by growing demand following the post-pandemic recovery.

Global potassium prices are also expected to have been driven by the shortage of potassium-based fertilizers. This is likely to have boosted prices in the company’s potassium business lines in the first quarter. Higher demand is likely to have backed the increase in prices of potassium chloride.

Sociedad Quimica y Minera S.A. Price and EPS Surprise

Sociedad Quimica y Minera S.A. Price and EPS Surprise
Sociedad Quimica y Minera S.A. Price and EPS Surprise

Sociedad Quimica y Minera S.A. price-eps-surprise | Sociedad Quimica y Minera S.A. Quote

Zacks Model

Our proven model does not conclusively predict an earnings beat for Sociedad Quimica this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here.

Earnings ESP: Earnings ESP for Sociedad Quimica is 0.00%. The Zacks Consensus Estimate for earnings for the first quarter is currently pegged at $1.23. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Sociedad Quimica currently carries a Zacks Rank #1.

Stocks That Warrant a Look

Here are some companies you may want to consider as our model shows these have the right combination of elements to post an earnings beat this quarter:

Advance Auto Parts, Inc. AAP, slated to release earnings on May 23, has an Earnings ESP of +4.89%. You can see the complete list of today’s Zacks #1 Rank stocks here.

Advance Auto Parts currently carries a Zacks Rank #3. The Zacks Consensus Estimate for AAP’s earnings for the first quarter is pegged at $3.50.

AutoZone, Inc. AZO is scheduled to release earnings on May 24. It has an Earnings ESP of +2.51%.

AutoZone currently carries a Zacks Rank #3. The Zacks Consensus Estimate for AZO’s earnings for the fiscal third quarter is pegged at $25.70.

Costco Wholesale Corporation COST is slated to release earnings on May 26. It has an Earnings ESP of +1.90%.

Costco currently carries a Zacks Rank #2. The Zacks Consensus Estimate for COST’s earnings for the fiscal third quarter is currently pegged at $3.04.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


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Costco Wholesale Corporation (COST) : Free Stock Analysis Report

Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report

AutoZone, Inc. (AZO) : Free Stock Analysis Report

Sociedad Quimica y Minera S.A. (SQM) : Free Stock Analysis Report

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Zacks Investment Research