Earnings Preview: CIT Group Inc. (NYSE:CIT) moved down 17 times out of last 28 quarters

CIT Group Inc. (NYSE:CIT) is projected to declare fiscal first quarter financial results right before the stock market’s official open on April 25, 2017. The stock added about 0.6 percent in price since last results when it was at $41.84 a share. Based on the most relevant past-periods data, there is an 60.71 percent probability for this firm’s share price to go down following next quarterly results. Earnings reaction history tells us that the equity price moved down 17 times out of last 28 reported quarters. It has beaten earnings-per-share estimates 41% of the time in its last 12 earnings reports. It fell short of earnings estimates on 7 occasions, and it has met expectations 0 time.

Here’s how traders responded to CIT earnings announcements over the past few quarters.

CIT Group Inc. (CIT) Earnings Surprises & Reaction

Given its history, the average earnings announcement surprise was -5.4 percent over the past four quarters. Back on January 31, 2017, it posted earnings per-share earnings at $0.59 which missed the consensus $0.79 projection (negative surprise of-25.32%). For the quarter, revenue came in at 437.2M versus consensus estimate of 612.62M. The stock dropped -1.55 percent the session following the earnings reports were released, and on 7th day price change was 0.6 percent.

On October 25, 2016, it reported earnings at $0.73 a share compared with the consensus estimate of $0.79 per share (negative surprise of -7.59%). Revenue of 608.7M for that quarter was below the $624.01M analysts had expected. The stock retreated -1.54% the day following the earnings announcement, and on 7th day price change was -0.52%.

On July 28, 2016, it recorded $0.9 a share in earnings which topped the consensus estimate of $0.79 (positive surprise of 13.92%). Revenue for the quarter was $645.1M while analysts called for revenues to be $620.92M. The stock gained 1.09% the day following the earnings data was made public, and on 7th day price change was -1.61%.

On April 28, 2016, it announced earnings per share at $0.75 versus the consensus estimate of $0.77 per share (negative surprise of -2.6%). That came on revenues of $653.8M for that period. Analysts had expected $618.74M in revenue.

CIT Group Inc. Earnings Estimates

As Q1 earnings announcement date approaches, Wall Street is expecting earnings per share of $0.6. The analysts’ present consensus range is $0.45-$0.85 for EPS. The market consensus range for revenue is between $490M and $520.8M, with an average of $504.4M.

CIT Group Inc. (NYSE:CIT) last ended at $41.66, sending the company’s market cap near $8.42B. The consensus 12-month price target from analysts covering the stock is $44.75. The share price has declined -5.53% from its top level in 52 weeks and advanced -2.03% this year. It recently traded in a range of $41.55-$42.17 at a volume of 1258561 shares. The recent trading ended with the price nearly -2.94 lower for the last 5 trading days, rebounding 48.83% from its 52-week low.


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