Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Verisk (VRSK) To Report Q4 Earnings: What's In The Offing?

By Zacks Investment ResearchStock MarketsFeb 14, 2020 07:07AM ET
www.investing.com/analysis/verisk-vrsk-to-report-q4-earnings-whats-in-the-offing-200507651
Verisk (VRSK) To Report Q4 Earnings: What's In The Offing?
By Zacks Investment Research   |  Feb 14, 2020 07:07AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

Verisk Analytics, Inc. (NASDAQ:VRSK) is scheduled to report fourth-quarter 2019 results on Feb 18, after the bell.

While the company’s top line is likely to have gained from solid segmental performance, the bottom line is expected to have performed well on the back of organic growth and contribution from acquisitions.

Shares of Verisk have gained 38% over the past year, compared with the 37.1% growth of the industry it belongs to.

Let’s check out the expectations in detail.

Segmental Growth Likely to Drive Top Line

Strength across all the segments — Insurance, Energy and Specialized Markets, and Financial Services— is likely to have driven Verisk’s fourth-quarter 2019 revenues. The Zacks Consensus Estimate for revenues stands at $669.14 million, indicating growth of 9% from the year-ago reported figure.

The consensus estimate for Insurance segment revenues is pegged at $469 million, indicating growth of 7.6% from the prior-year quarter reported figure. Segment revenues are expected to have benefited from strength in Underwriting & rating and Claims.

While strength in the company’s industry-standard insurance programs, property-specific underwriting and catastrophe modeling solutions might have boosted Underwriting & rating revenues, Claims revenues are likely to have gained from repair cost estimating and claims analytics solutions.

The consensus mark for Energy and Specialized Markets segment revenues is pegged at $154 million, indicating an increase of 18.5% from the year-ago quarter’s reported figure. Revenues from market and cost intelligence solutions and core research are expected to have aided the segment.

The consensus estimate for Financial Services segment revenues is pegged at $49.7 million, indicating year-over-year growth of 4.7%. The segment is likely to have benefited from growth in enterprise data management, and fraud and credit risk management solutions.

In third-quarter 2019, total revenues of $652.7 million increased 9% year over year.

Verisk Analytics, Inc. Revenue (TTM)

Organic Growth & Acquisitions Likely to Drive Bottom Linea

Solid organic growth, contribution from acquisitions and lower share count are likely to have partially offset the headwinds arising from higher depreciation and amortization expense and higher effective tax rate. This is expected to get reflected in Verisk’s fourth-quarter 2019 earnings, the Zacks Consensus Estimate for which is pegged at $1.12 per share, indicating growth of 7.7% from the year-ago quarter reported figure. In third-quarter 2019, adjusted earnings of $1.12 per share increased 3.7% year over year.

What Our Model Says

Our proven Zacks model does not predict an earnings beat for Verisk this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Verisk has an Earnings ESP of 0.00% and a Zacks Rank #3.

Stocks to Consider

Here are a few stocks from the broader Zacks Business Services sector that investors may consider as our model shows that these have the right combination of elements to beat on fourth-quarter 2019 earnings:

Cardlytics (NASDAQ:CDLX) has an Earnings ESP of +8.00% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Advanced Disposal Services (NYSE:ADSW) has an Earnings ESP of +35.85% and a Zacks Rank #3.

SailPoint Technologies (NYSE:SAIL) has an Earnings ESP of +4.92% and a Zacks Rank #3.

Looking for Stocks with Skyrocketing Upside?

Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.

Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.

See the pot trades we're targeting>>



Verisk Analytics, Inc. (VRSK): Free Stock Analysis Report

Advanced Disposal Services Inc. (ADSW): Free Stock Analysis Report

SailPoint Technologies Holdings, Inc. (SAIL): Free Stock Analysis Report

Cardlytics, Inc. (CDLX): Free Stock Analysis Report

Original post

Zacks Investment Research
Verisk (VRSK) To Report Q4 Earnings: What's In The Offing?
 

Related Articles

Verisk (VRSK) To Report Q4 Earnings: What's In The Offing?

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email