Wall Street analysts expect Heritage Insurance (HRTG) to post quarterly earnings of $1.61 per share in its upcoming report, which indicates a year-over-year increase of 143.9%. Revenues are expected to be $212.61 million, up 1.1% from the year-ago quarter.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over 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.
That said, let's delve into the average estimates of some Heritage Insurance metrics that Wall Street analysts commonly model and monitor.
According to the collective judgment of analysts, 'Revenues- Net investment income' should come in at $9.87 million. The estimate indicates a year-over-year change of +16%.
Analysts' assessment points toward 'Revenues- Net premiums earned' reaching $199.61 million. The estimate points to a change of +0.2% from the year-ago quarter.
The average prediction of analysts places 'Revenues- Other revenue' at $3.13 million. The estimate suggests a change of -2.1% year over year.
Analysts expect 'Ceded Premium Ratio' to come in at 44.9%. The estimate is in contrast to the year-ago figure of 44.7%.
It is projected by analysts that the 'Combined Ratio' will reach 72.9%. Compared to the current estimate, the company reported 89.7% in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Expense Ratio' of 34.6%. Compared to the current estimate, the company reported 35.0% in the same quarter of the previous year.
View all Key Company Metrics for Heritage Insurance here>>>
Shares of Heritage Insurance have experienced a change of +5.5% in the past month compared to the -1.3% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), HRTG is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Heritage Insurance Holdings, Inc. (HRTG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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