Core Viewpoint - Flagstar Financial (FLG) is expected to report a year-over-year increase in earnings despite lower revenues, with the consensus outlook being crucial for assessing the company's earnings picture [1][2]. Earnings Expectations - The upcoming earnings report is anticipated to be released on July 25, with a consensus EPS estimate of a loss of $0.12 per share, reflecting an 88.6% year-over-year change. Revenues are projected to be $527.48 million, down 21.4% from the previous year [3][2]. - The consensus EPS estimate has been revised 26.41% higher in the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model shows a positive Earnings ESP of +9.47% for Flagstar Financial, suggesting analysts have become more optimistic about the company's earnings prospects [12]. - The stock currently holds a Zacks Rank of 3, indicating a hold position, which combined with the positive Earnings ESP suggests a likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Flagstar Financial was expected to post a loss of $0.26 per share but actually reported a loss of -$0.23, resulting in a surprise of +11.54% [13]. - Over the past four quarters, the company has beaten consensus EPS estimates two times [14]. Industry Comparison - Midland States Bancorp (MSBI), another player in the Zacks Banks - Northeast industry, is expected to report an EPS of $0.63 for the same quarter, indicating a year-over-year change of +215% with revenues expected to be $77.4 million, up 6.5% from the previous year [18]. - The consensus EPS estimate for Midland States Bancorp has been revised 1.5% higher, but a lower Most Accurate Estimate results in an Earnings ESP of -3.18%, making it difficult to predict a beat on the consensus EPS estimate [19].
Flagstar Financial (FLG) Expected to Beat Earnings Estimates: What to Know Ahead of Q2 Release