27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
Century Communities (NYSE: CCS) unveils its next round of earnings this Wednesday, October 28. Here is Benzinga's everything-that-matters guide for the earnings announcement.
Net Income, Earnings, And Earnings Per Share
Earnings and especially earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equals to net income divided by the number of shares outstanding.
Earnings And Revenue
Century Communities earnings will be near $0.93 per share on sales of $709.49 million, according to analysts. Century Communities earnings in the same period a year ago was $0.87 per share. Quarterly sales came in at $590.36 million.
What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?
Wall Street analysts who study this company will publish analyst estimates of revenue and EPS. The averages of all analyst EPS and revenue estimates are called the "consensus estimates"; these consensus estimates can have a significant effect on a company's performance during an earnings release. When a company posts earnings or revenue above or below a consensus estimate, it has posted an "earnings surprise", which can really move a stock depending on the difference between actual and estimated values.
If the company were to post earnings in line with the consensus estimate when it reports Wednesday, EPS would be up 6.9%. Revenue would be up 20.18% from the year-ago period. Here is how the company's reported EPS has stacked up against analyst estimates in the past:
| Quarter | Q2 2020 | Q1 2020 | Q4 2020 | Q3 2019 |
|---|---|---|---|---|
| EPS Estimate | 0.69 | 0.64 | 1.27 | 0.87 |
| EPS Actual | 1.21 | 0.80 | 1.50 | 0.87 |
| Revenue Estimate | 572.69 M | 544.90 M | 743.00 M | 581.12 M |
| Revenue Actual | 776.44 M | 602.61 M | 792.54 M | 590.36 M |
Stock Performance
Shares of Century Communities were trading at $43.09 as of October 26. Over the last 52-week period, shares are up 40.5%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.
Do not be surprised to see the stock move on comments made during its conference call. Century Communities is scheduled to hold the call at 17:00:00 ET and can be accessed here.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
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