Financial technology provider SEI Investments (NASDAQ:SEIC) will be announcing earnings results this Wednesday after market hours. Here’s what to expect.
SEI Investments missed analysts’ revenue expectations by 0.5% last quarter, reporting revenues of $578.5 million, up 7.7% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but .
Is SEI Investments a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting SEI Investments’s revenue to grow 7.6% year on year to $599.4 million, slowing from the 14.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.35 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. SEI Investments has missed Wall Street’s revenue estimates three times over the last two years.
Looking at SEI Investments’s peers in the custody bank segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Northern Trust delivered year-on-year revenue growth of 9.4%, beating analysts’ expectations by 4.5%, and State Street reported revenues up 7.5%, topping estimates by 1.5%. Northern Trust traded up 2.9% following the results while State Street was down 8.1%.
Read our full analysis of Northern Trust’s results here and State Street’s results here.
Investors in the custody bank segment have had steady hands going into earnings, with share prices flat over the last month. SEI Investments is up 1.6% during the same time and is heading into earnings with an average analyst price target of $98.83 (compared to the current share price of $85.34).
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