Wall Street analysts expect Texas Capital (TCBI) to post quarterly earnings of $1.45 per share in its upcoming report, which indicates a year-over-year increase of 57.6%. Revenues are expected to be $320.15 million, up 14.1% from the year-ago quarter.
The consensus EPS estimate for the quarter has undergone an upward revision of 0.6% 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 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 investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
Bearing this in mind, let's now explore the average estimates of specific Texas Capital metrics that are commonly monitored and projected by Wall Street analysts.
Analysts predict that the 'Efficiency Ratio' will reach 65.7%. Compared to the current estimate, the company reported 72.4% in the same quarter of the previous year.
The consensus among analysts is that 'Net interest margin' will reach 3.4%. The estimate is in contrast to the year-ago figure of 3.2%.
The combined assessment of analysts suggests that 'Average Balance - Total earning assets' will likely reach $31.30 billion. The estimate is in contrast to the year-ago figure of $29.95 billion.
The average prediction of analysts places 'Total non-performing assets' at $124.90 million. Compared to the present estimate, the company reported $93.57 million in the same quarter last year.
It is projected by analysts that the 'Non-accrual loans held for investment' will reach $124.90 million. Compared to the current estimate, the company reported $93.57 million in the same quarter of the previous year.
According to the collective judgment of analysts, 'Total Non-Interest Income' should come in at $63.81 million. The estimate compares to the year-ago value of $44.44 million.
Analysts' assessment points toward 'Net Interest Income' reaching $256.33 million. Compared to the current estimate, the company reported $236.03 million in the same quarter of the previous year.
Analysts forecast 'Other Non-Interest Income' to reach $8.81 million. Compared to the current estimate, the company reported $8.27 million in the same quarter of the previous year.
The consensus estimate for 'Service charges on deposit accounts' stands at $8.62 million. The estimate compares to the year-ago value of $7.84 million.
Based on the collective assessment of analysts, 'Net Interest Income (FTE)' should arrive at $260.42 million. The estimate compares to the year-ago value of $236.50 million.
Analysts expect 'Wealth management and trust fee income' to come in at $4.27 million. Compared to the present estimate, the company reported $3.96 million in the same quarter last year.
View all Key Company Metrics for Texas Capital here>>>Shares of Texas Capital have experienced a change of +9.9% in the past month compared to the +8.6% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), TCBI 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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Texas Capital Bancshares, Inc. (TCBI): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).