Market Overview

Camden National's Earnings Outlook

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Camden National (NASDAQ: CAC) will be releasing its next round of earnings this Tuesday, October 27. For all of the relevant information, here is your guide for Tuesday's Q3 earnings announcement.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Based on Camden National management projections, analysts predict EPS of $0.81 on revenue of $45.90 million. Camden National reported a profit of $0.94 per share when it published results during the same quarter last year. Sales in that period totaled $42.66 million.

Why Analyst Estimates And Earnings Surprises Are Important

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 report earnings in line when it publishes results Tuesday, earnings would be down 13.83%. Sales would be have grown 7.59% from the same quarter last year. Here is how the company's reported EPS has compared to analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate 0.73 0.69 0.89 0.89
EPS Actual 0.73 0.89 0.99 0.94
Revenue Estimate 44.04 M 41.13 M 42.10 M 42.56 M
Revenue Actual 46.60 M 43.23 M 44.19 M 42.66 M

Stock Performance

Shares of Camden National were trading at $33.46 as of October 23. Over the last 52-week period, shares are down 26.08%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Camden National is scheduled to hold the call at 15:00:00 ET and can be accessed here.

 

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Posted-In: Earnings