Financial technology provider Broadridge (NYSE: BR) will be announcing earnings results tomorrow morning. Here’s what to look for.
Broadridge beat analysts’ revenue expectations by 2.7% last quarter, reporting revenues of $1.59 billion, up 13.1% year on year. It was a satisfactory quarter for the company, with a decent beat of analysts’ EPS estimates.
Is Broadridge a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Broadridge’s revenue to grow 7.7% year on year to $1.86 billion, improving from the 4.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.41 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Broadridge has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Broadridge’s peers in the data & business process services segment, some have already reported their Q1 results, giving us a hint as to what we can expect. CoStar delivered year-on-year revenue growth of 11.5%, meeting analysts’ expectations, and Equifax reported revenues up 3.8%, topping estimates by 1.7%. Equifax traded up 15.9% following the results.
Read our full analysis of CoStar’s results here and Equifax’s results here.
Investors in the data & business process services segment have had fairly steady hands going into earnings, with share prices down 2% on average over the last month. Broadridge is up 1.8% during the same time and is heading into earnings with an average analyst price target of $243.93 (compared to the current share price of $249.04).
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