Benzinga | Jul 22, 2021 10:54AM EDT

A Preview Of Regions Financial's Earnings

Regions Financial (NYSE:RF) announces its next round of earnings this Friday, July 23. Here is Benzinga's everything-that-matters guide for this Friday's Q2 earnings announcement.

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

Regions Financial EPS is expected to be around $0.52, according to sell-side analysts. Sales will likely be near $1.55 billion. In the same quarter last year, Regions Financial posted EPS of $0.25 on sales of $1.54 billion.

Why Analyst Estimates And Earnings Surprises Are Important

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 post earnings in line with the consensus estimate when it reports Friday, EPS would be up 308.0%. Revenue would be up 0.39% on a year-over-year basis. Here is how the company's EPS has stacked up against analyst estimates in the past: Quarter Q1 2021 Q4 2020 Q3 2020 Q2 2020EPS Estimate 0.47 0.42 0.33 0.06EPS Actual 0.63 0.61 0.52 -0.25Revenue Estimate 1.55 B 1.56 B 1.49 B 1.47 BRevenue Actual 1.60 B 1.66 B 1.60 B 1.54 B

Want Real-Time Earnings Calendar Updates?

Benzinga consistently updates its earnings calendars to stay up-to-date with the latest company earnings reports. Check out the full earnings calendar list updated in real-time by following this link.

Stock Performance

For a full 12 months, the return has risen by 76.65%. Given that these returns are generally positive, long-term shareholders are probably relaxed going into this earnings release. Long-term shareholders are already enjoying 12-month gains prior to the announcement.

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