Wall Street analysts forecast that Texas Capital (TCBI) will report quarterly earnings of $0.99 per share in its upcoming release, pointing to a year-over-year increase of 59.7%. It is anticipated that revenues will amount to $287.87 million, exhibiting an increase of 12.3% compared to the year-ago quarter.
Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted upward by 0.8% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
In light of this perspective, let's dive into the average estimates of certain Texas Capital metrics that are commonly tracked and forecasted by Wall Street analysts.
It is projected by analysts that the 'Efficiency Ratio' will reach 71.2%. Compared to the current estimate, the company reported 79% in the same quarter of the previous year.
Analysts' assessment points toward 'Net interest margin' reaching 3.1%. Compared to the present estimate, the company reported 3% in the same quarter last year.
The collective assessment of analysts points to an estimated 'Average Balance - Total earning assets' of $30.88 billion. The estimate is in contrast to the year-ago figure of $28.19 billion.
According to the collective judgment of analysts, 'Total non-performing assets' should come in at $117.49 million. Compared to the current estimate, the company reported $102.10 million in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Non-accrual loans held for investment' will likely reach $117.49 million. The estimate compares to the year-ago value of $92.85 million.
Analysts expect 'Net Interest Income' to come in at $230.46 million. Compared to the current estimate, the company reported $215.01 million in the same quarter of the previous year.
Analysts forecast 'Total Non-Interest Income' to reach $57.34 million. The estimate compares to the year-ago value of $41.32 million.
The consensus among analysts is that 'Net Interest Income (FTE)' will reach $231.76 million. The estimate is in contrast to the year-ago figure of $215.08 million.
Analysts predict that the 'Service charges on deposit accounts' will reach $7.15 million. The estimate is in contrast to the year-ago figure of $6.34 million.
The consensus estimate for 'Other Non-Interest Income' stands at $8.44 million. The estimate is in contrast to the year-ago figure of $6.37 million.
Based on the collective assessment of analysts, 'Wealth management and trust fee income' should arrive at $4.09 million. Compared to the current estimate, the company reported $3.57 million in the same quarter of the previous year.
View all Key Company Metrics for Texas Capital here>>>
Over the past month, shares of Texas Capital have returned -16.9% versus the Zacks S&P 500 composite's -3.6% change. Currently, TCBI carries a Zacks Rank #2 (Buy), suggesting that it may outperform 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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Texas Capital Bancshares, Inc. (TCBI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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