Cadence (CADE) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

For the quarter ended March 2024, Cadence (CADE) reported revenue of $437.69 million, up 2.2% over the same period last year. EPS came in at $0.62, compared to $0.68 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $426.84 million, representing a surprise of +2.54%. The company delivered an EPS surprise of +14.81%, with the consensus EPS estimate being $0.54.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Cadence performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Net Interest Margin: 3.2% versus 3.2% estimated by six analysts on average.
  • Efficiency Ratio fully tax equivalent: 60.1% compared to the 62.8% average estimate based on five analysts.
  • Average Balance - Total interest earning assets: $44.23 billion versus $43.88 billion estimated by five analysts on average.
  • Net charge-offs to average loans: 0.2% compared to the 0.3% average estimate based on four analysts.
  • Non-Performing Assets: $246.29 million versus the two-analyst average estimate of $265.86 million.
  • Tier 1 capital: 12.1% compared to the 11.4% average estimate based on two analysts.
  • Total capital: 14.5% versus the two-analyst average estimate of 13.8%.
  • Non-Performing Loans: $241.01 million compared to the $257.77 million average estimate based on two analysts.
  • Total noninterest income: $83.79 million compared to the $81.55 million average estimate based on six analysts.
  • Net Interest Income: $353.91 million versus $343.86 million estimated by five analysts on average.
  • Net Interest Income (FTE): $354.54 million versus the five-analyst average estimate of $345.59 million.
  • Deposit Service charges: $18.34 million compared to the $16.88 million average estimate based on three analysts.
View all Key Company Metrics for Cadence here>>>

Shares of Cadence have returned -3.2% over the past month versus the Zacks S&P 500 composite's -4% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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