Benzinga | Feb 1, 2021 10:15AM EST

Virtus Investment's Earnings: A Preview

Virtus Investment (NASDAQ:VRTS) unveils its next round of earnings this Tuesday, February 02. Here is Benzinga's everything-that-matters guide for the earnings announcement.

Net Income, Earnings, And Earnings Per Share

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Virtus Investment EPS is expected to be around $4.95, according to sell-side analysts. Sales will likely be near $149.97 million. Virtus Investment EPS in the same period a year ago totaled $4.32. Revenue was $146.08 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

The Wall Street estimate would represent a 14.58% increase in the company's earnings. Sales would be have grown 2.66% from the same quarter last year. The company's reported EPS has stacked up against analyst estimates in the past like this:

Quarter Q3 2020 Q2 2020 Q1 2020 Q4 2020EPS Estimate 4.32 2.99 3.10 4.09EPS Actual 4.49 3.24 3.32 4.32Revenue Estimate 134.42 M 112.36 M 120.44 M 128.42 MRevenue Actual 154.79 M 132.89 M 144.57 M 146.08 M

Stock Performance

Over the last 52-week period, shares of Virtus Investment are up 63.69%.

Do not be surprised to see the stock move on comments made during its conference call. Virtus Investment is scheduled to hold the call at 10:00:00 ET and can be accessed here.