First Commonwealth Financial (NYSE:FCF) Q3 Earnings: What Can You Expect?

in EARNINGS/INVESTING IDEAS by

First Commonwealth Financial Corporation (NYSE:FCF) is scheduled to report Q3 earnings results after markets close for trading on October 27, 2020.

The company is expected to report earnings of $0.24/share on revenue of $92.375 million. The consensus earnings per share (EPS) of $0.24/share is based on a poll of 7 analysts and represents a decline in eps of −21.4% over the same quarter last year, when the company reported earnings of $0.30/share.

The revenue forecast of $92.375 million based on a poll of 5 analysts implies a year-over-year (YoY) growth in revenue of 1.5%. Last year the company reported $91.054 million in revenue for the quarter.

Expected to report EPS contraction of −21.4% for Q3, 2020
Metric Expected Prior Year YoY Change
Revenue $92.37 $91.05 1.5%
EPS $0.24 $0.30 −21.4%

Earnings Call Trends

Historically, management has exceeded analyst expectations 3 out of the last 8 tracked quarters, missed 4 quarters, and met expectations 1 quarters.

What are your expectations from First Commonwealth Financial Corporation for earnings this quarter? Let us know in the comments!

Analyst Expected vs. Reported EPS
Quarter Expected Reported Surprise Result
Q2, 2020 $0.09 $0.24 157.2% Beat
Q1, 2020 $0.19 $0.05 −73.9% Missed
Q4, 2019 $0.28 $0.27 −4.1% Missed
Q3, 2019 $0.28 $0.30 6.6% Beat
Q2, 2019 $0.27 $0.28 2.4% Beat
Q1, 2019 $0.26 $0.25 −2.3% Missed
Q4, 2018 $0.27 $0.27 0% Met
Q3, 2018 $0.28 $0.25 −10.3% Missed

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 increasing 6.3%.

Stock Price Performance After Earnings
Report Date Price Day Prior Price Next Day Change % Result
July 28, 2020 $7.77 $8.26 6.3% Increase
April 28, 2020 $9.38 $9.82 4.7% Increase
January 28, 2020 $13.82 $13.48 −2.5% Decline
October 29, 2019 $13.95 $14.55 4.3% Increase

Fundamentals And Technical Analysis

First Commonwealth Financial Corporation is currently trading at $8.64/share, up 1.8% for the day. The company is trading at approximately 57.9% of its 52-week high of $14.93/share. The company’s stock price is up 4.6% since the last earnings report and up 3.8% over the previous week.

The company’s 14 Day Relative Price Index (RSI) of 56.17 suggests the company is trading in technically neutral territory. The RSI is considered overbought when above 70 and oversold when below 30.


NYSE:FCF Stock Price Chart
Source: Finbox

The current share price implies a price-to-earnings (P/E) multiple of 10.32 and a forward P/E multiple of 10.72.

First Commonwealth Financial Corporation’s current share price also implies a price-to-book (P/B) multiple of 0.79. The following table summarizes some other key fundamental ratios:

Data as of October 21, 2020
Metric Value
Last Reported Fiscal Period Key FY2020.Q2
Period End Date June 30, 2020
Stock Price (Current) $8.64
P/E Ratio 10.3x
P/E Ratio (Fwd) 10.7x
PEG Ratio −0.5
Total Debt / Total Capital 35.7%
Levered Free Cash Flow $114.8 million
Price To Sales 2.7x

Finbox

First Commonwealth Financial Corporation is a small-cap stock with a market capitalization of $846.4 million. The company operates in the Financials sector and the Banks industry.

First Commonwealth Financial Corporation, through its subsidiaries, provides consumer and commercial banking services to individuals, and small and mid-sized businesses in the United States. Its consumer services include personal checking accounts, interest-earning checking accounts, savings and health savings accounts, insured money market accounts, debit cards, investment certificates, fixed and variable rate certificates of deposit, mortgage loans, secured and unsecured installment loans, construction and real estate loans, safe deposit facilities, credit cards, credit lines with overdraft checking protection, IRA accounts, and automated teller machine (ATM) services, as well as Internet, mobile, and telephone banking services. The company’s commercial banking services comprise commercial lending, business checking accounts, online account management services, payroll direct deposits, commercial cash management services, and repurchase agreements, as well as ACH origination services. It also offers various trust and asset management services; auto, home, and business insurance, as well as term life insurance; and annuities, mutual funds, and stock and bond brokerage services through a broker-dealer and insurance brokers. As of December 31, 2019, the company operated 147 community banking offices in western and central Pennsylvania, as well as northeastern, central, and southwestern Ohio. It also leases 3 mortgage loan production offices and 4 corporate loan production offices, as well as operates a network of 163 automated teller machines. First Commonwealth Financial Corporation was founded in 1934 and is headquartered in Indiana, Pennsylvania.

Expertise: financial technology, analyzing market trends. Brian is a founder at finbox.io, where he’s focused on building tools that make it faster and easier for investors to research stock fundamentals. Brian’s background is in physics & computer science and previously worked as a software engineer at GE Healthcare. He enjoys applying his expertise in technology to help find market trends that impact investors. Brian can be reached at brian@finbox.io or at +1 (516) 778-6257.

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