Texas Capital Bancshares Earnings Preview: Get Ahead of the Analysts

Texas Capital Bancshares (NASDAQ:TCBI) will report earnings after markets close on Wednesday, July 24th. Texas Capital Bancshares, Inc. is the holding company for Texas Capital Bank, NA. The Bank attracts deposits from the general public and invests those funds in loans secured by single-family residential loans and commercial real estate, secured and unsecured commercial loans, and consumer loans. The Bank’s current primary market is the greater Dallas/Fort Worth metropolitan area.

Here is your Cheat Sheet to Texas Capital Bancshares Earnings:

Earnings Expectations: Analysts expect earnings of $0.80 per share on revenues of $103.57 million. Currently, the company’s P/E ratio stands at 15.34.

Analyst Trends:

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 $0.84 to a profit $0.83. For the current year, the average estimate is a profit of $3.27, which is worse than the estimate ninety days ago.

Earnings Trends:

Here’s how Texas Capital Bancshares has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 271 272 312 354 441
Diluted EPS ($) 0.87 0.55 1.00 1.98 3.00

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012 Mar. 31, 2013
Revenue ($) in millions 106.01 112.56 120.61 115.46
Diluted EPS ($) 0.76 0.80 0.76 0.80

Past Performance:
Texas Capital Bancshares has beat analyst estimates 2 times in the past four quarters. This is not consistent enough to get bullish yet.

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