Earnings Preview: Beazer Homes (BZH) Q3 Earnings Expected to Decline

Core Viewpoint - Wall Street anticipates a year-over-year decline in Beazer Homes' earnings due to lower revenues, with a focus on how actual results will compare to estimates to influence stock price [1][2]. Earnings Expectations - Beazer Homes is expected to report quarterly earnings of $0.42 per share, reflecting a year-over-year decrease of 52.3% [3]. - Projected revenues for the quarter are $554.33 million, down 6.9% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 1.36% higher in the last 30 days, indicating a slight positive reassessment by analysts [4]. - The Most Accurate Estimate for Beazer is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -4.76%, suggesting a bearish outlook from analysts [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank of 1, 2, or 3 [10]. - Beazer currently holds a Zacks Rank of 3, making it challenging to predict an earnings beat conclusively [12]. Historical Performance - In the last reported quarter, Beazer exceeded the expected earnings of $0.26 per share, achieving $0.42, which resulted in a surprise of +61.54% [13]. - Over the past four quarters, Beazer has beaten consensus EPS estimates three times [14]. Conclusion - While Beazer does not appear to be a compelling earnings-beat candidate, investors should consider other factors before making investment decisions [17].