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Everest Group (EG) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates

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For the quarter ended September 2024, Everest Group (EG - Free Report) reported revenue of $4.29 billion, up 6.5% over the same period last year. EPS came in at $14.62, compared to $14.14 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $4.48 billion, representing a surprise of -4.40%. The company delivered an EPS surprise of +22.75%, with the consensus EPS estimate being $11.91.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Everest Group performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Combined ratio - Consolidated: 93.1% versus 96.3% estimated by four analysts on average.
  • Loss ratio - Consolidated: 66% versus 69.3% estimated by four analysts on average.
  • Other Underwriting Expense Ratio: 6% versus the three-analyst average estimate of 5.8%.
  • Insurance - Other underwriting expense ratio: 17.2% versus 16% estimated by three analysts on average.
  • Total Reinsurance - Commission and brokerage ratio: 23.9% compared to the 24.1% average estimate based on three analysts.
  • Total Reinsurance - Other underwriting expense ratio: 2.5% versus the three-analyst average estimate of 2.5%.
  • Total Reinsurance - Combined ratio: 91.8% compared to the 98% average estimate based on three analysts.
  • Net premiums earned: $3.92 billion versus $3.98 billion estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +11.5% change.
  • Net investment income: $496 million compared to the $478.41 million average estimate based on four analysts. The reported number represents a change of +22.2% year over year.
  • Total Reinsurance- Premiums earned: $2.97 billion compared to the $3.01 billion average estimate based on three analysts. The reported number represents a change of +13.7% year over year.
  • Insurance- Premiums earned: $948 million versus the three-analyst average estimate of $970.26 million. The reported number represents a year-over-year change of +5.2%.
  • Other income (expense): -$102 million versus $17.69 million estimated by two analysts on average.
View all Key Company Metrics for Everest Group here>>>

Shares of Everest Group have returned -4.9% over the past month versus the Zacks S&P 500 composite's +1.8% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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