Market Overview

Preview: Colony Credit Real Estate's Earnings


On Thursday, November 05, Colony Credit Real Estate (NYSE: CLNC) will release its latest earnings report. Here is Benzinga's outlook for the company.

Net Income, Earnings, 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

Analysts expect Colony Credit Real Estate earnings of $0.16 per share. Revenue will likely be around $71.80 million, according to the consensus estimate. Colony Credit Real Estate reported a per-share profit of $0.34 when it published results during the same quarter last year. Sales in that period totaled $90.42 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.

The Wall Street estimate would represent a 52.94% decline in the company's earnings. Revenue would be down 20.6% from the year-ago period. Here is how the Colony Credit Real Estate's reported EPS has stacked up against analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate 0.18 0.29 0.29 0.37
EPS Actual 0.26 0.35 0.33 0.34
Revenue Estimate 79.20 M 136.50 M 135.30 M 148.60 M
Revenue Actual 60.30 M 89.78 M 89.15 M 90.42 M

Stock Performance

Over the past 52-week period, shares of Colony Credit Real Estate have declined 63.37%. Given that these returns are generally negative, long-term shareholders are probably a little upset going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Colony Credit Real Estate is scheduled to hold the call at 17:00:00 ET and can be accessed here.


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Posted-In: Earnings