Wall Street analysts expect Webster Financial (WBS) to post quarterly earnings of $1.41 per share in its upcoming report, which indicates a year-over-year increase of 11.9%. Revenues are expected to be $711.74 million, up 15.8% from the year-ago quarter.
The consensus EPS estimate for the quarter has undergone a downward revision of 0.2% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements 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.
Given this perspective, it's time to examine the average forecasts of specific Webster Financial metrics that are routinely monitored and predicted by Wall Street analysts.
According to the collective judgment of analysts, 'Net Interest Margin' should come in at 3.4%. Compared to the present estimate, the company reported 3.2% in the same quarter last year.
The average prediction of analysts places 'Efficiency Ratio' at 47.6%. The estimate compares to the year-ago value of 46.2%.
Analysts expect 'Average balance - Total interest-earning assets' to come in at $72.96 billion. Compared to the current estimate, the company reported $68.86 billion in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Total nonperforming loans and leases' should arrive at $587.42 million. Compared to the present estimate, the company reported $368.84 million in the same quarter last year.
Analysts' assessment points toward 'Total Non-Interest Income' reaching $93.59 million. Compared to the current estimate, the company reported $42.30 million in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Net Interest Income' of $616.23 million. Compared to the current estimate, the company reported $572.30 million in the same quarter of the previous year.
It is projected by analysts that the 'Wealth and investment services' will reach $7.86 million. Compared to the present estimate, the company reported $8.56 million in the same quarter last year.
The combined assessment of analysts suggests that 'Loan and lease related fees' will likely reach $17.97 million. Compared to the current estimate, the company reported $19.33 million in the same quarter of the previous year.
Analysts forecast 'Deposit service fees' to reach $39.51 million. The estimate is in contrast to the year-ago figure of $41.03 million.
The consensus estimate for 'Increase in cash surrender value of life insurance policies' stands at $8.02 million. The estimate compares to the year-ago value of $6.36 million.
The consensus among analysts is that 'Non-interest income- Other income' will reach $20.35 million. The estimate compares to the year-ago value of $16.94 million.
Analysts predict that the 'Tax-equivalent Net Interest Income' will reach $622.39 million. The estimate compares to the year-ago value of $572.30 million.
View all Key Company Metrics for Webster Financial here>>>
Over the past month, shares of Webster Financial have returned +13.4% versus the Zacks S&P 500 composite's +4% change. Currently, WBS carries a Zacks Rank #3 (Hold), suggesting that its performance may align with the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Webster Financial Corporation (WBS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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