The upcoming report from AvalonBay Communities (AVB) is expected to reveal quarterly earnings of $2.80 per share, indicating a decline of 0.7% compared to the year-ago period. Analysts forecast revenues of $778.72 million, representing an increase of 2.4% year over year.
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.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions 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.
Given this perspective, it's time to examine the average forecasts of specific AvalonBay metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts forecast 'Revenue- Rental and other income' to reach $771.64 million. The estimate points to a change of +1.7% from the year-ago quarter.
Based on the collective assessment of analysts, 'Same Store Economic Occupancy' should arrive at 96.0%. The estimate is in contrast to the year-ago figure of 96.2%.
Analysts expect 'Depreciation expense' to come in at $234.64 million.
View all Key Company Metrics for AvalonBay here>>>Over the past month, shares of AvalonBay have returned +8.6% versus the Zacks S&P 500 composite's +0.6% change. Currently, AVB carries a Zacks Rank #4 (Sell), suggesting that it may underperform 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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AvalonBay Communities, Inc. (AVB): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).