Benzinga | Oct 21, 2020 10:21AM EDT

A Preview Of AllianceBernstein Holding's Earnings

AllianceBernstein Holding (NYSE: AB) unveils its next round of earnings this Thursday, October 22. Get prepared with Benzinga's ultimate preview for AllianceBernstein Holding's Q3 earnings.

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

Earnings and 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 equates to net income divided by the number of shares outstanding.

Earnings And Revenue

AllianceBernstein Holding earnings will be near $0.68 per share on sales of $744.69 million, according to analysts. In the same quarter last year, AllianceBernstein Holding reported EPS of $0.63 on revenue of $877.87 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 consensus estimate for earnings would represent a 7.94% increase for the company. Sales would be down 15.17% on a year-over-year basis. In comparison to analyst estimates in the past, here is how the company's reported EPS stacks up:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019EPS Estimate 0.60 0.59 0.70 0.63EPS Actual 0.61 0.64 0.85 0.63Revenue Estimate 720.79 M 718.42 M 769.84 M 731.85 MRevenue Actual 871.45 M 874.16 M 987.30 M 877.87 M

Stock Performance

Over the last 52-week period, shares are up 13.2%. Given that these returns are generally positive, long-term shareholders can be content going into this earnings release.