Core Viewpoint - The market anticipates a year-over-year decline in Navient's earnings despite an increase in revenues when it reports its results for the quarter ended June 2025 [1] Company Summary - Navient is expected to report quarterly earnings of $0.29 per share, reflecting a year-over-year decrease of 39.6% [3] - Revenue projections stand at $142.8 million, which is a 5% increase from the same quarter last year [3] - The consensus EPS estimate has been revised down by 3.94% over the last 30 days, indicating a bearish sentiment among analysts [4] Earnings Surprise Prediction - The Most Accurate Estimate for Navient is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -17.22% [12] - The stock currently holds a Zacks Rank of 3, making it challenging to predict a beat on the consensus EPS estimate [12] - Historically, Navient has beaten consensus EPS estimates in the last four quarters, with a notable surprise of +47.37% in the last reported quarter [13][14] Industry Context - In comparison, Capital One is expected to post earnings of $3.83 per share for the same quarter, indicating a year-over-year increase of 22% [18] - Capital One's revenue is projected to be $12.22 billion, up 28.6% from the previous year, with a slight upward revision of 0.6% in the consensus EPS estimate over the last 30 days [19] - Capital One also has an Earnings ESP of -1.47% and a Zacks Rank of 3, complicating predictions for beating the consensus EPS estimate [20]

Company Performance - Navient (NAVI) reported quarterly earnings of $0.28 per share, exceeding the Zacks Consensus Estimate of $0.19 per share, but down from $0.63 per share a year ago, representing an earnings surprise of 47.37% [1] - The company posted revenues of $144 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 7.38%, although this is a decrease from year-ago revenues of $163 million [2] - Over the last four quarters, Navient has surpassed consensus EPS estimates four times, but has only topped consensus revenue estimates once [2] Stock Outlook - The immediate price movement of Navient's stock will largely depend on management's commentary during the earnings call [3] - Navient shares have declined approximately 4.4% since the beginning of the year, compared to a decline of 5.5% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is $0.28 on revenues of $136.06 million, and for the current fiscal year, it is $1.02 on revenues of $553.05 million [7] Industry Context - The Financial - Consumer Loans industry, to which Navient belongs, is currently ranked in the top 22% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Core Viewpoint - Navient (NAVI) is positioned well to continue its trend of beating earnings estimates, particularly in the upcoming quarterly report [1]. Group 1: Earnings Performance - Navient has a strong history of beating earnings estimates, with an average surprise of 23.37% over the last two quarters [2]. - In the last reported quarter, Navient achieved earnings of $0.25 per share, exceeding the Zacks Consensus Estimate of $0.20 per share, resulting in a surprise of 25% [3]. - For the previous quarter, the company was expected to post earnings of $0.23 per share but delivered $0.28 per share, yielding a surprise of 21.74% [3]. Group 2: Earnings Estimates and Predictions - Estimates for Navient have been trending higher, supported by its history of earnings surprises [6]. - The stock has a positive Zacks Earnings ESP (Expected Surprise Prediction) of +56.34%, indicating bullish sentiment among analysts regarding the company's earnings prospects [9]. - The combination of a positive Earnings ESP and a Zacks Rank 3 (Hold) suggests a high likelihood of another earnings beat in the upcoming report, expected on April 30, 2025 [9]. Group 3: Earnings ESP Insights - Stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [7]. - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [8].