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UMB (UMBF) Q4 Earnings Preview: What You Should Know Beyond the Headline Estimates

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Wall Street analysts forecast that UMB Financial (UMBF - Free Report) will report quarterly earnings of $2.71 per share in its upcoming release, pointing to a year-over-year increase of 8.8%. It is anticipated that revenues will amount to $678.95 million, exhibiting an increase of 54.1% compared to the year-ago quarter.

Over the last 30 days, there has been a downward revision of 0.3% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.

Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.

While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.

Bearing this in mind, let's now explore the average estimates of specific UMB metrics that are commonly monitored and projected by Wall Street analysts.

The collective assessment of analysts points to an estimated 'Efficiency Ratio (GAAP)' of 58.6%. The estimate compares to the year-ago value of 61.8%.

Based on the collective assessment of analysts, 'Tier 1 risk-based capital ratio' should arrive at 11.3%. Compared to the present estimate, the company reported 11.3% in the same quarter last year.

According to the collective judgment of analysts, 'Average Balance - Total earning assets' should come in at $64.36 billion. The estimate is in contrast to the year-ago figure of $42.62 billion.

The consensus among analysts is that 'Tier 1 Leverage Ratio' will reach 8.4%. Compared to the present estimate, the company reported 8.5% in the same quarter last year.

The average prediction of analysts places 'Total Risk-based Capital Ratio' at 13.3%. The estimate is in contrast to the year-ago figure of 13.2%.

The combined assessment of analysts suggests that 'Total noninterest income' will likely reach $191.34 million. The estimate is in contrast to the year-ago figure of $165.21 million.

Analysts forecast 'Net interest income (FTE)' to reach $486.34 million. Compared to the present estimate, the company reported $275.34 million in the same quarter last year.

The consensus estimate for 'Net Interest Income' stands at $473.51 million. Compared to the present estimate, the company reported $268.97 million in the same quarter last year.

Analysts' assessment points toward 'Service charges on deposit accounts' reaching $29.58 million. Compared to the current estimate, the company reported $21.41 million in the same quarter of the previous year.

Analysts expect 'Bankcard fees' to come in at $29.86 million. Compared to the present estimate, the company reported $21.09 million in the same quarter last year.

It is projected by analysts that the 'Trust and securities processing' will reach $90.52 million. Compared to the present estimate, the company reported $76.86 million in the same quarter last year.

Analysts predict that the 'Brokerage fees' will reach $20.94 million. The estimate compares to the year-ago value of $18.64 million.

View all Key Company Metrics for UMB here>>>

Over the past month, UMB shares have recorded returns of +6.3% versus the Zacks S&P 500 composite's +0.7% change. Based on its Zacks Rank #3 (Hold), UMBF will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .


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