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EverQuote Q3 Earnings, Revenues Top on Strong Automotive Vertical

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EverQuote, Inc. (EVER - Free Report) reported third-quarter 2024 operating net income per share of 6 cents, which beat the Zacks Consensus Estimate by 63.2%. Moreover, the bottom line rebounded from the year-ago quarter’s loss of 40 cents per share.

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The quarterly results reflected solid performances across Automotive insurance and Home and Renters insurance verticals, and increased variable marketing margin, partially offset by higher expenses.

Behind EVER’s Headlines

Revenues in the Automotive insurance vertical increased 202% year over year to $130 million. The Zacks Consensus Estimate was pegged at $126 million. Our estimate was $125.2 million.

EverQuote, Inc. Price, Consensus and EPS Surprise

EverQuote, Inc. Price, Consensus and EPS Surprise

EverQuote, Inc. price-consensus-eps-surprise-chart | EverQuote, Inc. Quote

Revenues in the Home and Renters insurance vertical totaled $30 million, which increased 14.1% year over year. The Zacks Consensus Estimate and our estimate was pegged at $13.9 million. 

Revenues in the Other insurance vertical totaled $0.4 million, which plunged 63.3% year over year. The Zacks Consensus Estimate and our estimate was pegged at $0.6 million.

Total revenues of $144.5 million beat the Zacks Consensus Estimate by 2.9%. The top line surged 162.7% year over year.

Total costs and operating expenses increased 57.3% to $132.9 million, mainly due to higher sales and marketing, research and development costs and general and administrative expenses. Our estimate was $131.9 million. 

EverQuote’s variable marketing margin increased 125% year over year in the quarter under review to $43.9 million. The Zacks Consensus Estimate was pegged at $40.5 million. Our estimate was negative $40.3 million.

Adjusted EBITDA was $18.8 million against the year-ago quarter’s adjusted EBITDA loss of $1.9 million. Our estimate was negative $16.4 million.

Financial Update

EverQuote exited the third quarter with cash and cash equivalents of $82.9 million, up 118.5% from 2023 end. Total assets were $180.5 million, up 62.7% from 2023 end. 

Total stockholders' equity increased 45.5% to $117.7 million.

Cash from operations was $23.6 million in the third quarter of 2024 versus cash outflow of $4.1 million.

Q4 Guidance

EverQuote estimates revenues in the range of $131-$136 million and a variable marketing margin in the band of $38-$40 million. The company expects adjusted EBITDA between $14 million and $16 million.

Zacks Rank

EverQuote currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Performance of Other Multiline Insurers

MetLife, Inc. (MET - Free Report) reported third-quarter 2024 adjusted operating earnings of $1.93 per share, which missed the Zacks Consensus Estimate by 10.7%. The bottom line declined 1% year over year. Adjusted operating revenues of $17.6 billion decreased 3.4% year over year. The top line missed the consensus mark by 4.7%.

Earlier, management estimated a variable investment income of $1.5 billion for 2024. Corporate & Other adjusted losses are anticipated between $750 million and $850 million. The effective tax rate is projected to be in the range of 24-26%.
MetLife Holdings segment’s adjusted PFOs are expected to witness a year-over-year decline of 13-15%. The unit’s adjusted earnings are forecast to be $700-$900 million.

Adjusted earnings in the Asia segment are anticipated to grow 20%. Adjusted earnings in the EMEA unit are likely to be in the range of $60-$65 million for the remaining quarters of 2024.

Prudential Financial, Inc. (PRU - Free Report) reported third-quarter 2024 adjusted operating income of $3.48 per share, which beat the Zacks Consensus Estimate by 0.2%. However, the bottom line decreased 3.8% year over year. 

Total revenues of $19.5 billion surged 94% year over year and beat the Zacks Consensus Estimate by 33.7%. The increase in revenues was due to higher premiums, policy charges and fee income and net investment income.

The Hartford Financial Services Group, Inc. (HIG - Free Report) reported third-quarter 2024 adjusted operating earnings of $2.53 per share, which beat the Zacks Consensus Estimate by 1.6%. The bottom line increased 10.5% year over year.

Operating revenues of HIG amounted to $4.7 billion, which improved 10.9% year over year in the quarter under review. The top line beat the consensus mark by 1.1%.

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