Unveiling Willis Towers Watson (WTW) Q4 Outlook: Wall Street Estimates for Key Metrics

Zacks
03 Feb

Wall Street analysts expect Willis Towers Watson (WTW) to post quarterly earnings of $8.01 per share in its upcoming report, which indicates a year-over-year increase of 7.7%. Revenues are expected to be $3.05 billion, up 4.5% from the year-ago quarter.

Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 2.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.

Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

Given this perspective, it's time to examine the average forecasts of specific Willis Towers Watson metrics that are routinely monitored and predicted by Wall Street analysts.

The collective assessment of analysts points to an estimated 'Revenue- Segment Revenue' of $3.03 billion. The estimate suggests a change of +5.3% year over year.

According to the collective judgment of analysts, 'Revenue- Reimbursable expenses and other' should come in at $22.97 million. The estimate suggests a change of -42.6% year over year.

Analysts predict that the 'Revenue- Health, Wealth and Career' will reach $1.88 billion. The estimate points to a change of +4.4% from the year-ago quarter.

The combined assessment of analysts suggests that 'Revenue- Risk and Broking' will likely reach $1.14 billion. The estimate points to a change of +6.3% from the year-ago quarter.

Analysts forecast 'Segment Operating Income- Risk and Broking' to reach $367.72 million. The estimate compares to the year-ago value of $354 million.

Based on the collective assessment of analysts, 'Segment Operating Income- Health, Wealth and Career' should arrive at $754.57 million. Compared to the current estimate, the company reported $729 million in the same quarter of the previous year.

View all Key Company Metrics for Willis Towers Watson here>>>

Shares of Willis Towers Watson have experienced a change of +6.6% in the past month compared to the +2.7% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), WTW is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

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