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The upcoming report from Preferred Bank (PFBC) is expected to reveal quarterly earnings of $2.42 per share, indicating a decline of 6.9% compared to the year-ago period. Analysts forecast revenues of $70 million, representing a decrease of 2.1% year over year.
Over the last 30 days, there has been an upward revision of 3.7% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
In light of this perspective, let's dive into the average estimates of certain Preferred Bank metrics that are commonly tracked and forecasted by Wall Street analysts.
Analysts' assessment points toward 'Net Interest Margin' reaching 3.9%. Compared to the current estimate, the company reported 4.2% in the same quarter of the previous year.
The average prediction of analysts places 'Efficiency Ratio' at 29.7%. Compared to the current estimate, the company reported 25% in the same quarter of the previous year.
The consensus estimate for 'Average Interest-Earning Assets' stands at $6.82 billion. The estimate is in contrast to the year-ago figure of $6.50 billion.
Based on the collective assessment of analysts, 'Net interest income before provision for credit losses' should arrive at $66.80 million. The estimate is in contrast to the year-ago figure of $69.40 million.
View all Key Company Metrics for Preferred Bank here>>>
Preferred Bank shares have witnessed a change of +1.2% in the past month, in contrast to the Zacks S&P 500 composite's +2.1% move. With a Zacks Rank #2 (Buy), PFBC is expected outperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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