S&P 500 (NYSE:SPY) component Cincinnati Financial Corp (NASDAQ:CINF) will unveil its latest earnings on Wednesday, July 27, 2011. Through independent insurance agents in 37 states, Cincinnati Financial Corporation’s markets property casualty insurance. The Travelers Companies, Inc. Earnings Cheat Sheet: Profit Streak Snapped by a Loss>>
Cincinnati Financial Corp Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average estimate of analysts is for net loss of 64 cents per share, a swing from net income of 26 cents in the year earlier quarter. During the past three months, the average estimate has moved down from 29 cents. Between one and three months ago, the average estimate moved down and dropped from a loss of 62 cents during the last month. For the year, analysts are projecting profit of 60 cents per share, a decline of 64.3% from last year.
Past Earnings Performance: The company fell short of estimates last quarter after topping forecasts the quarter prior. In the first quarter, it reported net income of 33 cents per share against a mean estimate of 36 cents. Two quarters ago, it beat expectations by 34 cents with profit of 70 cents.
Wall St. Revenue Expectations: On average, analysts predict $892 million in revenue this quarter, a rise of 1.6% from the year ago quarter. Analysts are forecasting total revenue of $3.69 billion for the year, a decline of 2.1% from last year’s revenue of $3.77 billion.
Analyst Ratings: Analysts seem relatively indifferent about Cincinnati with four of six analysts surveyed maintaining a hold rating.
Revenue rose in the first quarter after seeing a drop the quarter before. Revenue rose 4.7% to $929 million in the first quarter from the year earlier. In the fourth quarter of the last fiscal year, revenue fell 17.4%.
Competitors to Watch: American Financial Group (NYSE:AFG), American Insurance Group (NYSE:AIG), Selective Insurance Group (NASDAQ:SIGI), United Fire & Casualty (NASDAQ:UFCS), CNA Financial Corporation (NYSE:CNA), Harleysville Group Inc. (NASDAQ:HGIC), Markel Corporation (NYSE:MKL), W.R. Berkley Corporation (NYSE:WRB), The Travelers Companies, Inc. (NYSE:TRV), Old Republic Intl. Corp. (NYSE:ORI), and The Hanover Insurance Group, Inc. (NYSE:THG).
Stock Price Performance: During April 26, 2011 to July 21, 2011, the stock price had fallen $3.38 (-10.6%) from $31.96 to $28.58. The stock price saw one of its best stretches over the last year between June 24, 2011 and July 1, 2011 when shares rose for six-straight days, rising 4.8% (+$1.34) over that span. It saw one of its worst periods between July 7, 2011 and July 18, 2011 when shares fell for eight-straight days, falling 6.6% (-$1.93) over that span. Shares are down $2.29 (-7.4%) year to date.
(Source: Xignite Financials)