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Verisk (VRSK) to Report Q1 Earnings: What's in the Offing?

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Verisk Analytics, Inc. (VRSK - Free Report) is scheduled to report first-quarter 2021 results on May 4, after market close.

Let's check out how things have shaped up for the announcement.

Q1 Expectations

The Zacks Consensus Estimate for Verisk’s first-quarter 2021 revenues stands at $728.53 million, indicating growth of 5.6% from the year-ago reported figure.

The consensus estimate for Insurance segment revenues is pegged at $534 million, indicating growth of 9.2% from the prior-year reported figure. Within the segment, underwriting and rating revenues are likely to have benefited from an annual increase in prices derived from continued enhancements of the solutions’ contents within the industry-standard insurance programs, sale of expanded solutions to existing customers in commercial and personal lines, and contributions from catastrophe-modeling services. Claims revenues are likely to have been aided by repair-cost-estimating solutions revenues, claims analytics revenues and workers compensation claims resolution services.

The consensus mark for Energy and Specialized Markets segment revenues is pegged at $158 million, indicating 1.3% decrease from the year-ago reported figure. Declines in cost-intelligence solutions' implementation projects (which did not reoccur) as well as in consulting revenues in connection with the COVID-19 pandemic, might have weighed on the segment.

The consensus estimate for Financial Services segment revenues is pegged at $35.14 million, indicating year-over-year decline of 12.8%. Lower levels of project spending from the company’s bank customers and decline in consulting revenues, both in connection with the COVID-19 pandemic, might have weighed on segmental revenues.

Verisk’s bottom line is likely to have benefited from cost discipline in the business, coronavirus-led reduction in travel expenses and lower average share count. The Zacks Consensus Estimate for earnings in the to-be-reported quarter is pegged at $1.25 per share, indicating growth of 6.8% from the year-ago quarter’s reported figure.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Verisk this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

Verisk has an Earnings ESP of 0.00% and a Zacks Rank #3.

Verisk Analytics, Inc. Price and EPS Surprise

Verisk Analytics, Inc. Price and EPS Surprise

Verisk Analytics, Inc. price-eps-surprise | Verisk Analytics, Inc. Quote

Stocks to Consider

Here are a few stocks from the broader Zacks Business Services sector that investors may consider, as our model shows that these have the right combination of elements to beat on first-quarter 2021 earnings.

BGSF (BGSF - Free Report) has an Earnings ESP of +33.33% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Avis Budget(CAR - Free Report) has an Earnings ESP of +15.22% and a Zacks Rank #3.

Fidelity National Information Services (FIS - Free Report) has an Earnings ESP of +2.01% and a Zacks Rank #3.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

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