S&T (NasdaqGS:STBA) Q3 2020 Earnings Preview

in EARNINGS/INVESTING IDEAS by

S&T Bancorp, Inc. (NasdaqGS:STBA) is scheduled to report Q3 earnings results before markets open for trading on October 22, 2020.

The company is expected to report earnings of $0.43/share on revenue of $85.089 million. The consensus earnings per share (EPS) of $0.43/share is based on a poll of 5 analysts and represents a decline in eps of −46.0% over the same quarter last year, when the company reported earnings of $0.80/share.

The revenue forecast of $85.089 million based on a poll of 3 analysts implies a year-over-year (YoY) growth in revenue of 14.6%. Last year the company reported $74.259 million in revenue for the quarter.

Expected to report EPS contraction of −46.0% for Q3, 2020
Metric Expected Prior Year YoY Change
Revenue $85.09 $74.26 14.6%
EPS $0.43 $0.80 −46.0%

Earnings Call Trends

Historically, management has exceeded analyst expectations 4 out of the last 8 tracked quarters, and missed expectations 4 quarters.

What are your expectations from S&T Bancorp, Inc. for earnings this quarter? Let us know in the comments!

Analyst Expected vs. Reported EPS
Quarter Expected Reported Surprise Result
Q2, 2020 $0.30 -$0.85 −383.3% Missed
Q1, 2020 $0.51 $0.39 −22.8% Missed
Q4, 2019 $0.77 $0.85 10.9% Beat
Q3, 2019 $0.77 $0.80 4.2% Beat
Q2, 2019 $0.75 $0.78 4.0% Beat
Q1, 2019 $0.74 $0.66 −10.8% Missed
Q4, 2018 $0.78 $0.77 −1.8% Missed
Q3, 2018 $0.76 $0.80 5.0% Beat

In the following table, we summarize the company’s stock price movements after earnings releases. The “Price Day Prior” column shows the closing stock price on the day before the earnings report, and the “Price Next Day” column shows the stock price at the end of the trading day after the earnings report. After the last earnings report for the period ending June 30, 2020, the stock price reacted by falling −9.6%.

Stock Price Performance After Earnings
Report Date Price Day Prior Price Next Day Change % Result
July 30, 2020 $23.79 $21.50 −9.6% Decline
April 30, 2020 $29.20 $25.57 −12.4% Decline
January 30, 2020 $37.97 $37.59 −1.0% Decline
October 24, 2019 $37.10 $36.52 −1.6% Decline

Fundamentals And Technical Analysis

S&T Bancorp, Inc. is currently trading at $19.90/share, down −0.1% for the day. The company is trading at approximately 47.9% of its 52-week high of $41.53/share. The company’s stock price is down −7.4% since the last earnings report and up 1.2% over the previous week.

The company’s 14 Day Relative Price Index (RSI) of 54.22 suggests the company is trading in technically neutral territory. The RSI is considered overbought when above 70 and oversold when below 30.


NasdaqGS:STBA Stock Price Chart
Source: Finbox

The current share price implies a price-to-earnings (P/E) multiple of 26.71 and a forward P/E multiple of 20.86.

S&T Bancorp, Inc.’s current share price also implies a price-to-book (P/B) multiple of 0.69. The following table summarizes some other key fundamental ratios:

Data as of October 20, 2020
Metric Value
Last Reported Fiscal Period Key FY2020.Q2
Period End Date June 30, 2020
Stock Price (Current) $19.90
P/E Ratio 26.7x
P/E Ratio (Fwd) 20.9x
PEG Ratio −0.4
Total Debt / Total Capital 33.0%
Levered Free Cash Flow $42.503 million
Price To Sales 3.8x

Finbox

S&T Bancorp, Inc. is a small-cap stock with a market capitalization of $781.1 million. The company operates in the Financials sector and the Banks industry.

S&T Bancorp, Inc. operates as the bank holding company for S&T Bank that provides retail and commercial banking products and services. The company operates through five segments: Commercial Real Estate, Commercial and Industrial, Commercial Construction, Consumer Real Estate, and Other Consumer. The company accepts time and demand deposits; and offers commercial and consumer loans, cash management services, and brokerage and trust services, as well as acts as guardian and custodian of employee benefits. It also manages private investment accounts for individuals and institutions. In addition, the company distributes life insurance and long-term disability income insurance products, as well as offers title insurance agency services to commercial customers. As of December 31, 2019, it operated 76 banking branches and 5 loan production offices located in Western Pennsylvania, Eastern Pennsylvania, Northeast Ohio, Central Ohio, and Upstate New York. S&T Bancorp, Inc. was founded in 1902 and is headquartered in Indiana, Pennsylvania.

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