Unlocking Q4 Potential of Texas Capital (TCBI): Exploring Wall Street Estimates for Key Metrics
Wall Street analysts forecast that Texas Capital (TCBI) will report quarterly earnings of $0.76 per share in its upcoming release, pointing to a year-over-year decline of 12.6%. It is anticipated that revenues will amount to $255.02 million, exhibiting a decline of 51.5% compared to the year-ago quarter.
The current level reflects a downward revision of 2.7% 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.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
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.
The average prediction of analysts places 'Efficiency Ratio' at 73.5%. Compared to the current estimate, the company reported 40.6% in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Net interest margin' should arrive at 3.0%. Compared to the current estimate, the company reported 3.3% in the same quarter of the previous year.
The consensus estimate for 'Average Balance - Total earning assets' stands at $28.80 billion. Compared to the current estimate, the company reported $29.75 billion in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Total non-performing assets' of $69.91 million. The estimate compares to the year-ago value of $48.34 million.
According to the collective judgment of analysts, 'Non-accrual loans held for investment' should come in at $69.91 million. Compared to the present estimate, the company reported $48.34 million in the same quarter last year.
Analysts expect 'Total Non-Interest Income' to come in at $34.24 million. Compared to the present estimate, the company reported $277.67 million in the same quarter last year.
Analysts predict that the 'Net Interest Income' will reach $219.65 million. The estimate is in contrast to the year-ago figure of $247.60 million.
Analysts' assessment points toward 'Net Interest Income (FTE)' reaching $219.84 million. The estimate compares to the year-ago value of $247.75 million.
Analysts forecast 'Service charges on deposit accounts' to reach $5.27 million. Compared to the present estimate, the company reported $5.15 million in the same quarter last year.
It is projected by analysts that the 'Other Non-Interest Income' will reach $6.57 million. The estimate is in contrast to the year-ago figure of $6.77 million.
The consensus among analysts is that 'Investment banking and trading income' will reach $15.59 million. The estimate compares to the year-ago value of $11.94 million.
The combined assessment of analysts suggests that 'Wealth management and trust fee income' will likely reach $3.68 million. Compared to the present estimate, the company reported $3.44 million in the same quarter last year.
View all Key Company Metrics for Texas Capital here>>>
Shares of Texas Capital have demonstrated returns of +0.9% over the past month compared to the Zacks S&P 500 composite's +3.5% change. 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 >>>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Texas Capital Bancshares, Inc. (TCBI) : Free Stock Analysis Report
