Earnings Preview: Bank OZK (OZK) Q2 Earnings Expected to Decline

Core Viewpoint - The market anticipates a year-over-year decline in earnings for Bank OZK despite an increase in revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Bank OZK is expected to report quarterly earnings of $1.51 per share, reflecting a -0.7% change year-over-year, while revenues are projected to be $417.66 million, up 0.2% from the previous year [3]. - The consensus EPS estimate has been revised 1.05% higher in the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that the Most Accurate Estimate for Bank OZK is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -4.89%, indicating a bearish outlook from analysts [12]. - A positive Earnings ESP is generally a strong predictor of an earnings beat, especially when combined with a favorable Zacks Rank [10]. Historical Performance - In the last reported quarter, Bank OZK exceeded the expected earnings of $1.42 per share by delivering $1.47, resulting in a surprise of +3.52% [13]. - Over the past four quarters, the company has consistently beaten consensus EPS estimates [14]. Conclusion - While Bank OZK does not appear to be a strong candidate for an earnings beat, investors should consider other factors influencing stock performance ahead of the earnings release [17].