First Foundation (FFWM) Surpasses Q3 Earnings and Revenue Estimates

Company Performance - First Foundation (FFWM) reported quarterly earnings of $0.04 per share, exceeding the Zacks Consensus Estimate of a loss of$ 0.29 per share, and compared to earnings of $0.05 per share a year ago, representing an earnings surprise of 113.79% [1] - The company posted revenues of$ 61.06 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.75%, although this is a decrease from year-ago revenues of $63.77 million [2] - Over the last four quarters, First Foundation has surpassed consensus EPS estimates four times and topped consensus revenue estimates two times [2] Stock Performance and Outlook - First Foundation shares have declined approximately 19.7% since the beginning of the year, while the S&P 500 has gained 22.1% [3] - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at$ 0.06 on $66.33 million in revenues for the coming quarter and -$ 0.13 on $235.93 million in revenues for the current fiscal year [7] Industry Context - The Banks - Southwest industry, to which First Foundation belongs, is currently ranked in the top 6% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that the industry outlook can significantly impact stock performance [5][8]