The next round of earnings for Western Alliance Bancorp (NYSE:WAL) will be released on Thursday, July 15. Prepare for Western Alliance Bancorp’s Q2 earnings with Benzinga’s comprehensive preview.
What Is The Difference Between Earnings, Net Income, And Earnings Per Share?
Earnings and earnings per share (EPS) are useful profitability indicators. Total earnings, often known as net income, are calculated by subtracting total revenue from total expenses. EPS is calculated by dividing net income by the total number of outstanding shares.
Revenue And Earnings
Analysts predict that Western Alliance Bancorp will earn about $1.96 per share on revenues of $494.03 million. Western Alliance Bancorp earned $0.93 per share on revenue of $319.67 million in the same quarter last year.
Why Are Earnings Surprises And Analyst Estimates Important?
Each quarter, analysts covering this firm will release forward-looking sales and EPS projections. The “consensus estimates” are calculated by averaging each analyst’s EPS and revenue forecasts for a firm over the course of a quarter. An “earnings surprise” occurs when a company’s earnings or sales exceeds or falls below the consensus estimate, and it can cause the stock to move significantly.
The analyst consensus estimate implies a 110.75 percent growth in EPS for the company. On a year-over-year basis, revenue would be up 54.54 percent. In the past, the company’s reported EPS has matched analyst estimates like this:
Quarter EPS Estimate Q1 2021 Q4 2020 Q3 2020 Q2 2020
3.38.05 M 318.74 M 311.94 M 307.92 M 1.47 1.32 1.04 0.78 EPS Actual 1.90 1.93 1.36 0.93 Revenue Estimate 338.05 M 318.74 M 311.94 M 307.92 M
Actual Revenue 337.00 M 338.60 M 305.34 M 319.67 M
Performance of the Stock Market
The stock has gained 165.23 percent in the last 52 weeks. Long-term stockholders can relax ahead of this earnings release because these returns are normally good. Prior to the announcement, long-term investors had already enjoyed 12-month gains.
Don’t be shocked if the stock moves as a result of comments made during the company’s conference call. Western Alliance Bancorp will host a conference call at 12:00 p.m. ET, which may be accessed here./n
