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Tale of the Tape

Zacks Equity Research

BB&T (BBT) Tops Q3 Earnings Estimates on Higher Revenues
October 19, 2016


Trades from $3

Have you been eager to see how BB&T Corporation (BBT - Analyst Report) performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this North Carolina-based diversified financial holding company’s earnings release this morning:

An Earnings Beat

BB&T came out with adjusted earnings per share of 76 cents, which handedly surpassed the Zacks Consensus Estimate of 70 cents.

A rise in revenues aided the earnings beat.

How Was the Estimate Revision Trend?

You should note that the Zacks Consensus Estimate for Q3 has remained stable over the last 7 days, though it has been revised down over the past 30 days period.

Notably, BB&T has a mixed earnings surprise history. Before posting the earnings beat in Q3, the company delivered negative surprises in two of the prior four quarters. Overall, on an average the company posted positive earnings surprise of 3.14% in the trailing four quarters.

BB&T CORP Price and EPS Surprise

BB&T CORP Price and EPS Surprise | BB&T CORP Quote

Revenue Came In Higher Than Expected

BB&T posted total revenues of $2.81 billion, which surpassed the Zacks Consensus Estimate of $2.77 billion. Moreover, it came around 13% higher than the year-ago number.

Key Statistics to Note:

  • Adjusted Efficiency ratio of 58.7%   
  • Average loans and leases held for investment were $141.3 billion as of Sep 30, 2016
  • Average deposits were $159.5 billion as of Sep 30, 2016
  • Dividend payout ratio of 40.5% as of Sep 30, 2016
  • Common equity Tier 1 ratio under Basel III, on a fully-phased in basis, was 9.9% as Sep 30, 2016

What Zacks Rank Says

BB&T currently has a Zacks Rank #3 (Hold). 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 favorable, 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.)

Check back later for our full write up on this BB&T earnings report!

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