Benzinga | May 3, 2021 10:15AM EDT

Earnings Outlook For Radian Group

On Tuesday, May 04, Radian Group (NYSE:RDN) will release its latest earnings report. Benzinga's outlook for Radian Group is included in the following report.

What Are Earnings, Net Income, 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

Radian Group EPS will likely be near $0.67 while revenue will be around $276.47 million, according to analysts. Radian Group EPS in the same period a year ago totaled $0.8. Sales were $277.42 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.

If the company were to match the consensus estimate when it reports Tuesday, earnings would be down 16.25%. Sales would have fallen 0.34% 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 0.64 0.47 0.19 0.74EPS Actual 0.69 0.59 -0.36 0.80Revenue Estimate 275.89 M 255.90 M 268.72 M 298.71 MRevenue Actual 302.14 M 286.47 M 249.29 M 277.42 M

Stock Performance

Shares of Radian Group were trading at $24.64 as of April 30. Over the last 52-week period, shares are up 77.67%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

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