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WisdomTree Investments (WETF) Posts In Line Q3 Earnings

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Have you been eager to see how WisdomTree Investments, Inc. performed in Q3 in comparison with the market expectations? Let’s quickly scan through the key facts from this New York-based exchange-traded fund (‘ETF’) and exchange-traded product (‘ETP’) sponsor and asset manager’s earnings release this morning:

Earnings Meets Expectations

WisdomTree came out with earnings per share of 6 cents, in line with the Zacks Consensus Estimate. However, the figure declined 66.4% from the prior year quarter earnings.

Results reflected a decline in revenues and expenses.

How Was the Estimate Revision Trend?

You should note that the earnings estimate for WisdomTree remained stable prior to the earnings release. The Zacks Consensus Estimate has remained unchanged at 6 cents over the last 7 days.

Overall, WisdomTree boasts of a decent earnings surprise history.

WISDOMTREE INV Price and EPS Surprise

WISDOMTREE INV Price and EPS Surprise | WISDOMTREE INV Quote

Revenue Came in Slightly Higher than Expected

WisdomTree posted revenues of $51.8 million, slightly above Zacks Consensus Estimate of $51.4 million. However, revenues decreased 35.9% year over year.

Key Takeaways:

Net Income                 :  $8.0 million, down 65.8% from the prior-year quarter.

Total Expenses            : $37.6 million, down 8.9% year over year.

As of Sep 30, 2016, U.S. listed ETF assets under management (AUM) was $37.7 billion, down 28.9% year over year, mainly driven by net outflows. However, the company witnessed a 46.4% growth in European listed AUM which totaled $1.02 billion.

What Zacks Rank Says

The estimate revisions that we discussed earlier have driven a Zacks Rank #3 (Hold) for WisdomTree. However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. Now it all depends on what sense the just-released report makes to the analysts.

(You can see the complete list of today’s Zacks Rank #1 stocks here.)

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