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Federated Investors Earnings Are on Deck

By Seth Jayson - Updated Apr 10, 2017 at 1:44PM

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Checking expectations

Federated Investors (NYSE: FII) is expected to report Q1 earnings on April 25. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Federated Investors's revenues will expand 9.4% and EPS will wane -19.2%.

The average estimate for revenue is $252.0 million. On the bottom line, the average EPS estimate is $0.42.

Revenue details
Last quarter, Federated Investors notched revenue of $244.8 million. GAAP reported sales were 13% higher than the prior-year quarter's $216.4 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.44. GAAP EPS of $0.46 for Q4 were 28% higher than the prior-year quarter's $0.36 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 74.2%, 220 basis points better than the prior-year quarter. Operating margin was 32.8%, 420 basis points better than the prior-year quarter. Net margin was 20.3%, 320 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.05 billion. The average EPS estimate is $1.79.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 286 members out of 306 rating the stock outperform, and 20 members rating it underperform. Among 101 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 96 give Federated Investors a green thumbs-up, and five give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Federated Investors is hold, with an average price target of $21.73.

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Stocks Mentioned

Federated Hermes, Inc. Stock Quote
Federated Hermes, Inc.
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