TowneBank (TOWN) Earnings Expected to Grow: Should You Buy?

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for TowneBank, with a focus on how actual results compare to estimates, which could significantly impact stock price [1][2]. Earnings Expectations - TowneBank is expected to report quarterly earnings of $0.75 per share, reflecting a year-over-year increase of +29.3% [3]. - Revenues are projected to be $218.1 million, representing a 24.2% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analyst expectations [4]. - The Most Accurate Estimate for TowneBank matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with positive readings being more predictive of earnings beats [8][9]. - TowneBank's current Zacks Rank is 3, which complicates predictions regarding an earnings beat [11]. Historical Performance - In the last reported quarter, TowneBank exceeded the expected earnings of $0.69 per share by delivering $0.81, resulting in a surprise of +17.39% [12]. - Over the past four quarters, TowneBank has beaten consensus EPS estimates three times [13]. Conclusion - While TowneBank does not appear to be a strong candidate for an earnings beat, investors should consider other factors before making investment decisions [16].