Have you been eager to see how Santander Consumer USA Holdings Inc. performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this Texas-based technology-driven consumer finance company’s earnings release this morning:
Earnings Decline
Santander Consumer came out with earnings per share of 59 cents, down 11% year over year. The reported quarter included onetime tax benefit of 3 cents. The Zacks Consensus Estimate of 54 cents.
Lower revenues were primarily responsible for the fall in earnings.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for Santander Consumer depicted a neutral stance prior to the earnings release. The Zacks Consensus Estimate has remained unchanged over the last 7 days.
However, Santander Consumer does not a decent earnings surprise history. The company had an average negative beat of 13.9% in the trailing four quarters.
Revenue Came In Lower Than Expected
Santander Consumer posted revenues of $1.21 billion, which was significantly below the Zacks Consensus Estimate of $1.70 billion. Also, it compared unfavorably with the year-ago number of $1.38 billion.
Key Statistics
Total originations: $5.2 billion
Net interest margin: 11.8%
Net charge-off ratio: 8.3%
Return on average equity: 17.1%
Return on average assets: 2.2%
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #2 (Buy) for Santander Consumer. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
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Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors. Click here for Zacks' private trades >>
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Santander Consumer (SC) Q3 Earnings & Revenues Decline
Have you been eager to see how Santander Consumer USA Holdings Inc. performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this Texas-based technology-driven consumer finance company’s earnings release this morning:
Earnings Decline
Santander Consumer came out with earnings per share of 59 cents, down 11% year over year. The reported quarter included onetime tax benefit of 3 cents. The Zacks Consensus Estimate of 54 cents.
Lower revenues were primarily responsible for the fall in earnings.
How Was the Estimate Revision Trend?
You should note that the earnings estimate revisions for Santander Consumer depicted a neutral stance prior to the earnings release. The Zacks Consensus Estimate has remained unchanged over the last 7 days.
However, Santander Consumer does not a decent earnings surprise history. The company had an average negative beat of 13.9% in the trailing four quarters.
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Revenue Came In Lower Than Expected
Santander Consumer posted revenues of $1.21 billion, which was significantly below the Zacks Consensus Estimate of $1.70 billion. Also, it compared unfavorably with the year-ago number of $1.38 billion.
Key Statistics
Total originations: $5.2 billion
Net interest margin: 11.8%
Net charge-off ratio: 8.3%
Return on average equity: 17.1%
Return on average assets: 2.2%
What Zacks Rank Says
The estimate revisions that we discussed earlier have driven a Zacks Rank #2 (Buy) for Santander Consumer. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look unfavorable, it all depends on what sense the just-released report makes to the analysts.
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
Zacks’ Best Private Investment Ideas
While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.
Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors. Click here for Zacks' private trades >>