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Navient (NAVI) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates
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Navient (NAVI - Free Report) reported $280 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 13.4%. EPS of $0.84 for the same period compares to $0.75 a year ago.
The reported revenue represents a surprise of +32.77% over the Zacks Consensus Estimate of $210.9 million. With the consensus EPS estimate being $0.81, the EPS surprise was +3.70%.
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.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Navient performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Net interest margin, Consumer Lending segment: 3.2% versus 2.9% estimated by two analysts on average.
Net interest margin, Federal Education Loan segment: 1.5% versus 1% estimated by two analysts on average.
Asset recovery and business processing revenue: $85 million versus the four-analyst average estimate of $88.03 million.
Servicing revenue: $15 million versus the four-analyst average estimate of $16.67 million.
Other income: $5 million versus the four-analyst average estimate of $5.69 million.
Net Interest Income: $291 million compared to the $199.05 million average estimate based on three analysts.
Total Non Interest Income / Total other income: $131 million compared to the $113.30 million average estimate based on three analysts.
Non-interest income (loss) / Total other income- Business Processing: $85 million versus the two-analyst average estimate of $83.07 million.
Non-interest income (loss) / Total other income- Consumer Lending: $4 million versus $4.11 million estimated by two analysts on average.
Non-interest income (loss) / Total other income- Federal Education Loans: $15 million versus $19.10 million estimated by two analysts on average.
Net interest income (loss)- Federal Education Loans: $161 million versus the two-analyst average estimate of $105.87 million.
Net interest income (loss)- Consumer Lending: $150 million versus the two-analyst average estimate of $138.33 million.
Shares of Navient have returned +1.7% over the past month versus the Zacks S&P 500 composite's -1.6% 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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Navient (NAVI) Q3 Earnings: How Key Metrics Compare to Wall Street Estimates
Navient (NAVI - Free Report) reported $280 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 13.4%. EPS of $0.84 for the same period compares to $0.75 a year ago.
The reported revenue represents a surprise of +32.77% over the Zacks Consensus Estimate of $210.9 million. With the consensus EPS estimate being $0.81, the EPS surprise was +3.70%.
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.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Navient performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Net interest margin, Consumer Lending segment: 3.2% versus 2.9% estimated by two analysts on average.
- Net interest margin, Federal Education Loan segment: 1.5% versus 1% estimated by two analysts on average.
- Asset recovery and business processing revenue: $85 million versus the four-analyst average estimate of $88.03 million.
- Servicing revenue: $15 million versus the four-analyst average estimate of $16.67 million.
- Other income: $5 million versus the four-analyst average estimate of $5.69 million.
- Net Interest Income: $291 million compared to the $199.05 million average estimate based on three analysts.
- Total Non Interest Income / Total other income: $131 million compared to the $113.30 million average estimate based on three analysts.
- Non-interest income (loss) / Total other income- Business Processing: $85 million versus the two-analyst average estimate of $83.07 million.
- Non-interest income (loss) / Total other income- Consumer Lending: $4 million versus $4.11 million estimated by two analysts on average.
- Non-interest income (loss) / Total other income- Federal Education Loans: $15 million versus $19.10 million estimated by two analysts on average.
- Net interest income (loss)- Federal Education Loans: $161 million versus the two-analyst average estimate of $105.87 million.
- Net interest income (loss)- Consumer Lending: $150 million versus the two-analyst average estimate of $138.33 million.
View all Key Company Metrics for Navient here>>>Shares of Navient have returned +1.7% over the past month versus the Zacks S&P 500 composite's -1.6% 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.