Benzinga | Apr 20, 2021 10:31AM EDT

Earnings Outlook for Texas Capital Bancshares

Texas Capital Bancshares (NASDAQ:TCBI) unveils its next round of earnings this Wednesday, April 21. Get prepared with Benzinga's ultimate preview for Texas Capital Bancshares's Q1 earnings.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and especially earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equals to net income divided by the number of shares outstanding.

Earnings And Revenue

Texas Capital Bancshares EPS will likely be near $1.1 while revenue will be around $250.90 million, according to analysts. Texas Capital Bancshares earnings in the same period a year ago was $1.39 per share. Quarterly sales came in at $240.10 million.

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

Wall Street analysts who study this company will publish analyst estimates of revenue and EPS. The averages of all analyst EPS and revenue estimates are called the "consensus estimates"; these consensus estimates can have a significant effect on a company's performance during an earnings release. When a company posts earnings or revenue above or below a consensus estimate, it has posted an "earnings surprise", which can really move a stock depending on the difference between actual and estimated values.

The Wall Street consensus estimate for earnings would represent a 20.86% decrease for the company. Sales would be up 4.5% from the same quarter last year. Here is how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter Q4 2021 Q3 2020 Q2 2020 Q1 2020EPS Estimate 1.13 0.59 0.19 0.99EPS Actual 1.14 1.08 0.26 1.39Revenue Estimate 250.27 M 255.35 M 238.79 M 252.95 MRevenue Actual 265.90 M 267.92 M 280.43 M 240.10 M

Stock Performance

Over the last 52-week period, shares of Texas Capital Bancshares are up 193.73%.

Do not be surprised to see the stock move on comments made during its conference call. Texas Capital Bancshares is scheduled to hold the call at 16:30:00 ET and can be accessed here.