Earnings Preview: Coastal Financial Corporation (CCB) Q3 Earnings Expected to Decline

Core Viewpoint - Coastal Financial Corporation (CCB) is anticipated to report a year-over-year decline in earnings due to lower revenues for the quarter ended September 2025, with the consensus outlook indicating potential impacts on its near-term stock price [1][3]. Earnings Expectations - The consensus estimate for Coastal Financial's quarterly earnings is $0.89 per share, reflecting a year-over-year decrease of 8.3%. Revenues are projected to be $129 million, down 15.3% from the same quarter last year [3]. - The earnings report could lead to a stock price increase if the actual results exceed expectations, while a miss could result in a decline [2]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating that analysts have not significantly reassessed their initial estimates during this period [4]. - The Most Accurate Estimate for Coastal Financial is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -2.83%, suggesting a bearish outlook from analysts [13]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the deviation of actual earnings from the consensus estimate, with positive readings being more predictive of earnings beats [10][11]. - Coastal Financial's combination of a negative Earnings ESP and a Zacks Rank of 3 makes it challenging to predict an earnings beat conclusively [13]. Historical Performance - In the last reported quarter, Coastal Financial was expected to post earnings of $0.87 per share but only achieved $0.71, resulting in a surprise of -18.39%. Over the past four quarters, the company has only beaten consensus EPS estimates once [14][15]. Industry Comparison - In the Zacks Banks - West industry, First Hawaiian (FHB) is expected to report earnings of $0.52 per share for the same quarter, indicating a year-over-year increase of 8.3%. Its revenue is projected to be $218.28 million, up 4% from the previous year [19][20].