KeyCorp Earnings: Here’s Why the Stock is Up Now

KeyCorp (NYSE:KEY) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 2.51%.

KeyCorp Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 12.5% to $0.21 in the quarter versus EPS of $0.24 in the year-earlier quarter.

Revenue: Decreased 11.51% to $1.02 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: KeyCorp reported adjusted EPS income of $0.21 per share. By that measure, the company beat the mean analyst estimate of $0.2. It missed the average revenue estimate of $1.02 billion.

Quoting Management: “During the second quarter, the strength of our business model continued to drive results. Key made clear progress implementing growth initiatives, improving its cost structure and executing capital priorities,” said Chairman and Chief Executive Officer Beth Mooney.

Key Stats (on next page)…

Revenue decreased 7.05% from $1.09 billion in the previous quarter. EPS increased 0% from $0.21 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.23 to a profit $0.22. For the current year, the average estimate is a profit of $0.87, which is the same with that ninety days ago.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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