Have you been eager to see how Regions Financial Corporation (RF) performed in Q4 in comparison with the market expectations? Let’s quickly scan through the key facts from this AL-based popular bank’s earnings release this morning:
An Earnings Miss
Regions Financial came out with earnings per share of 14 cents, missing the Zacks Consensus Estimate of 21 cents. Weak top line and higher expenses were primarily responsible for this earnings miss.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for Regions Financial depicted a neutral stance prior to the earnings release. The Zacks Consensus Estimate has remained stable over the last 7 days.
However, Regions Financial has a decent earnings surprise history. Before posting an earnings miss in Q4, the company delivered positive surprises in three of the prior four quarters. Overall, the company surpassed the Zacks Consensus Estimate by an average of 4.94% in the trailing four quarters.
Revenue Came In Lower Than Expected
Regions Financial posted revenues of $1.27 billion, which significantly missed the Zacks Consensus Estimate of $1.30 billion. Moreover, it compared unfavorably with the year-ago number of $1.36 billion.
Key Stats to Note:
-
Loan growth of $700 million recorded on 14% increase in production
-
Common stock repurchased worth $248 million
-
Reduced non-performing loans, delinquencies and troubled debt restructured loans were recorded
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #3 (Hold) for Regions Financial. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.
Check back later for our full write up on this Regions Financial earnings report!
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 >>
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
To read this article on Zacks.com click here.
Get all Zacks Research Reports and be alerted to fast-breaking buy and sell opportunities every trading day.
Be the first to comment