E-Trade Financial Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component E-Trade Financial (NASDAQ:ETFC) will unveil its latest earnings tomorrow, Thursday, January 24, 2013. E*TRADE Financial provides online brokerage and related products and services primarily to individual retail investors.

E-Trade Financial Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for a loss of 54 cents per share, a wider loss from the year-earlier quarter net loss of 2 cents. During the past three months, the average estimate has moved down from 10 cents. Between one and three months ago, the average estimate moved down. It also has dropped from a loss of 53 cents during the last month. For the year, analysts are projecting net loss of 38 cents per share, a spike from net income of 54 cents last year.

Past Earnings Performance: Last quarter, the company missed estimates by 3 cents, coming in at profit of 5 cents per share versus a mean estimate of net income of 8 cents per share. In the second quarter, the company beat estimates by 2 cents.

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A Look Back: In the third quarter, the company swung to a loss of $28.6 million (10 cents a share) from a profit of $70.7 million (24 cents) a year earlier, missing analyst expectations. Revenue fell 3.9% to $565.5 million from $588.6 million.

Here’s how E-Trade Financial traded following its last earnings report 3 months ago and leading up to its upcoming earnings report this week:

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Analyst Ratings: There are mostly holds on the stock with nine of 11 analysts surveyed giving that rating.

Wall St. Revenue Expectations: Analysts predict a rise of 0.8% in revenue from the year-earlier quarter to $478.9 million.

Key Stats:

On the top line, the company is hoping to use this earnings announcement to snap a string of four-straight quarters of revenue decreases. Revenue fell 8.2% in the fourth quarter of the last fiscal year, 8.1% in first quarter and 11.1% in the second quarter and then fell again in the third quarter.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)