Regional banking company ServisFirst Bancshares (NYSE: SFBS) will be announcing earnings results this Monday after the bell. Here’s what to expect.
ServisFirst Bancshares missed analysts’ revenue expectations by 1.7% last quarter, reporting revenues of $131.8 million, up 18.3% year on year. It was a softer quarter for the company, with a miss of analysts’ net interest income estimates and a miss of analysts’ EPS estimates.
Is ServisFirst Bancshares a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting ServisFirst Bancshares’s revenue to grow 22.2% year on year to $140.3 million, improving from the 4.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.21 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. ServisFirst Bancshares has missed Wall Street’s revenue estimates twice over the last two years.
Looking at ServisFirst Bancshares’s peers in the regional banks segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Texas Capital Bank delivered year-on-year revenue growth of 15.2%, beating analysts’ expectations by 2.7%, and Nicolet Bankshares reported revenues up 12.7%, topping estimates by 4.4%. Texas Capital Bank traded up 4.8% following the results while Nicolet Bankshares was also up 7.8%.
Read our full analysis of Texas Capital Bank’s results here and Nicolet Bankshares’s results here.
There has been positive sentiment among investors in the regional banks segment, with share prices up 10.3% on average over the last month. ServisFirst Bancshares is up 13.8% during the same time and is heading into earnings with an average analyst price target of $85 (compared to the current share price of $83).
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