In This Article:
As you might know, Banc of California, Inc. (NYSE:BANC) recently reported its quarterly numbers. The result was positive overall - although revenues of US$266m were in line with what the analysts predicted, Banc of California surprised by delivering a statutory profit of US$0.26 per share, modestly greater than expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.
We check all companies for important risks. See what we found for Banc of California in our free report.
Following the latest results, Banc of California's eight analysts are now forecasting revenues of US$1.14b in 2025. This would be a decent 18% improvement in revenue compared to the last 12 months. Statutory earnings per share are predicted to bounce 86% to US$1.23. In the lead-up to this report, the analysts had been modelling revenues of US$1.15b and earnings per share (EPS) of US$1.22 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
Check out our latest analysis for Banc of California
It will come as no surprise then, to learn that the consensus price target is largely unchanged at US$17.36. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Banc of California, with the most bullish analyst valuing it at US$20.00 and the most bearish at US$15.00 per share. The narrow spread of estimates could suggest that the business' future is relatively easy to value, or thatthe analysts have a strong view on its prospects.
Of course, another way to look at these forecasts is to place them into context against the industry itself. For example, we noticed that Banc of California's rate of growth is expected to accelerate meaningfully, with revenues forecast to exhibit 24% growth to the end of 2025 on an annualised basis. That is well above its historical decline of 10% a year over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in the industry are forecast to see their revenue grow 7.1% per year. Not only are Banc of California's revenues expected to improve, it seems that the analysts are also expecting it to grow faster than the wider industry.