A Preview Of Premier Financial's Earnings

Premier Financial PFC announces its next round of earnings this Tuesday, January 26. Here is Benzinga's look at Premier Financial's Q4 earnings report.

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

Premier Financial EPS is expected to be around $0.69, according to sell-side analysts. Sales will likely be near $55.43 million. In the same quarter last year, Premier Financial reported EPS of $0.66 on revenue of $29.50 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.

The Wall Street estimate would represent a 4.55% increase in the company's earnings. Revenue would be up 87.91% from the same quarter last year. Here is how the company's EPS has stacked up against analyst estimates in the past:

Stock Performance

Over the past 52-week period, shares of Premier Financial have declined 14.73%.

Do not be surprised to see the stock move on comments made during its conference call. Premier Financial is scheduled to hold the call at 11:00:00 ET and can be accessed here.