Analysts Estimate KKR Real Estate Finance (KREF) to Report a Decline in Earnings: What to Look Out for

Core Viewpoint - KKR Real Estate Finance (KREF) is expected to report a year-over-year decline in earnings and revenues for the quarter ended December 2024, with the actual results being crucial for stock price movement [1][3]. Earnings Expectations - The consensus estimate for KREF's quarterly earnings is $0.30 per share, reflecting a year-over-year decrease of 36.2$36.46 million, down 21.6% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised 10% lower in the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [10][11]. Earnings Surprise Prediction - A positive or negative Earnings ESP reading indicates the potential deviation of actual earnings from the consensus estimate, with positive readings being more predictive of earnings beats [7][8]. - KREF's current Zacks Rank is 4 (Sell), complicating predictions of an earnings beat [11]. Historical Performance - KREF has beaten consensus EPS estimates in the last four quarters, with a notable surprise of +29.03% in the last reported quarter [12][13]. Industry Comparison - Annaly Capital Management (NLY), another player in the REIT and Equity Trust industry, is expected to report EPS of $0.67, with a year-over-year change of -1.5% and revenues expected to rise significantly [17]. - NLY's consensus EPS estimate has been revised 3.1% higher, but it has a negative Earnings ESP of -1.98% combined with a Zacks Rank of 2 (Buy) [18].