Customers Bancorp (CUBI) Q2 Earnings: What To Expect

CUBI Cover Image

Regional banking company Customers Bancorp (NYSE: CUBI) will be reporting earnings this Thursday after the bell. Here’s what investors should know.

Customers Bancorp missed analysts’ revenue expectations by 26% last quarter, reporting revenues of $143 million, down 21.3% year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ EPS estimates but a slight miss of analysts’ tangible book value per share estimates.

Is Customers Bancorp a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Customers Bancorp’s revenue to be flat year on year at $199 million, slowing from the 9.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.52 per share.

Customers Bancorp Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Customers Bancorp has missed Wall Street’s revenue estimates four times over the last two years.

Looking at Customers Bancorp’s peers in the regional banks segment, some have already reported their Q2 results, giving us a hint as to what we can expect. City Holding delivered year-on-year revenue growth of 6.3%, beating analysts’ expectations by 3%, and Texas Capital Bank reported revenues up 15.2%, topping estimates by 2.7%. Texas Capital Bank traded up 4.8% following the results.

Read our full analysis of City Holding’s results here and Texas Capital Bank’s results here.

There has been positive sentiment among investors in the regional banks segment, with share prices up 8.2% on average over the last month. Customers Bancorp is up 17.8% during the same time and is heading into earnings with an average analyst price target of $70.14 (compared to the current share price of $63.50).

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