PennantPark (PNNT) got here out with quarterly earnings of $0.14 per share, lacking the Zacks Conse
PennantPark (PNNT) got here out with quarterly earnings of $0.14 per share, lacking the Zacks Consensus Estimate of $0.15 per share. This compares to earnings of $0.15 per share a 12 months in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of -6.67%. 1 / 4 in the past, it was anticipated that this enterprise growth firm would submit earnings of $0.15 per share when it really produced earnings of $0.16, delivering a shock of 6.67%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates simply as soon as.
PennantPark, which belongs to the Zacks Monetary – SBIC & Business Trade trade, posted revenues of $21.28 million for the quarter ended September 2020, lacking the Zacks Consensus Estimate by 10.73%. This compares to year-ago revenues of $27.93 million. The corporate has not been in a position to beat consensus income estimates during the last 4 quarters.
The sustainability of the inventory’s rapid value motion based mostly on the recently-released numbers and future earnings expectations will largely rely on administration’s commentary on the earnings name.
PennantPark shares have misplaced about 45.3% because the starting of the 12 months versus the S&P 500’s achieve of 10.4%.
What’s Subsequent for PennantPark?
Whereas PennantPark has underperformed the market to this point this 12 months, the query that involves traders’ minds is: what’s subsequent for the inventory?
There aren’t any simple solutions to this key query, however one dependable measure that may assist traders handle that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified currently.
Empirical analysis exhibits a powerful correlation between near-term inventory actions and tendencies in earnings estimate revisions. Traders can monitor such revisions by themselves or depend on a tried-and-tested ranking instrument just like the Zacks Rank, which has a formidable monitor file of harnessing the facility of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions development for PennantPark was blended. Whereas the magnitude and route of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out in step with the market within the close to future. You’ll be able to see the entire record of at the moment’s Zacks #1 Rank (Robust Purchase) shares right here.
It will likely be fascinating to see how estimates for the approaching quarters and present fiscal 12 months change within the days forward. The present consensus EPS estimate is $0.14 on $22.26 million in revenues for the approaching quarter and $0.55 on $90.99 million in revenues for the present fiscal 12 months.
Traders must be aware of the truth that the outlook for the trade can have a fabric affect on the efficiency of the inventory as properly. By way of the Zacks Trade Rank, Monetary – SBIC & Business Trade is presently within the backside 25% of the 250 plus Zacks industries. Our analysis exhibits that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
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