The upcoming report from KeyCorp (KEY) is expected to reveal quarterly earnings of $0.33 per share, indicating an increase of 32% compared to the year-ago period. Analysts forecast revenues of $1.73 billion, representing an increase of 13.2% year over year.
The current level reflects an upward revision of 2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
With that in mind, let's delve into the average projections of some KeyCorp metrics that are commonly tracked and projected by analysts on Wall Street.
The average prediction of analysts places 'Average balance - Total earning assets' at $173.23 billion. The estimate is in contrast to the year-ago figure of $172.05 billion.
The combined assessment of analysts suggests that 'Cash Efficiency Ratio (non-GAAP)' will likely reach 68.7%. Compared to the current estimate, the company reported 88.6% in the same quarter of the previous year.
According to the collective judgment of analysts, 'Nonperforming assets - Total' should come in at $733.76 million. The estimate compares to the year-ago value of $591 million.
Based on the collective assessment of analysts, 'Tier 1 Risk-based Capital Ratio' should arrive at 12.5%. The estimate compares to the year-ago value of 11.7%.
Analysts expect 'Total Risk-based Capital Ratio' to come in at 14.8%. The estimate is in contrast to the year-ago figure of 14.1%.
Analysts predict that the 'Leverage Ratio' will reach 9.4%. Compared to the present estimate, the company reported 9% in the same quarter last year.
The collective assessment of analysts points to an estimated 'Nonperforming loans at period-end' of $663.97 million. The estimate compares to the year-ago value of $574 million.
Analysts forecast 'Total Noninterest Income' to reach $702.20 million. Compared to the present estimate, the company reported $610 million in the same quarter last year.
Analysts' assessment points toward 'Investment banking and debt placement fees' reaching $194.54 million. Compared to the current estimate, the company reported $136 million in the same quarter of the previous year.
The consensus estimate for 'Net interest income (FTE basis)' stands at $1.04 billion. Compared to the current estimate, the company reported $928 million in the same quarter of the previous year.
The consensus among analysts is that 'Cards and payments income' will reach $87.69 million. The estimate compares to the year-ago value of $84 million.
It is projected by analysts that the 'Trust and investment services income' will reach $143.26 million. Compared to the current estimate, the company reported $132 million in the same quarter of the previous year.
View all Key Company Metrics for KeyCorp here>>>
KeyCorp shares have witnessed a change of -1.8% in the past month, in contrast to the Zacks S&P 500 composite's -3.3% move. With a Zacks Rank #3 (Hold), KEY is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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