What's in the Cards for Main Street (MAIN) Q1 Earnings?
Main Street Capital Corporation MAIN is slated to announce first-quarter 2021 results on May 6, after market close. The company’s revenues are expected to have increased year over year, while earnings might have declined.
The company has a decent earnings surprise history. It surpassed the Zacks Consensus Estimate in two of the trailing four quarters. The earnings surprise was 4.85%, on average.
In the last reported quarter, the company outpaced the consensus mark on higher total investment income and a solid liquidity position. However, a decrease in net asset value and a rise in operating expenses were headwinds.
The Zacks Consensus Estimate for Main Street’s earnings of 55 cents for the to-be-reported quarter remained unchanged over the past seven days. Also, it indicates a fall of 3.5% from the year-ago reported figure.
Key Factors to Note
Due to lower interest rates, Main Street is likely to have witnessed a fall in interest income during the quarter. However, the expectation of higher prepayment activities might have provided fee income some support.
The Zacks Consensus Estimate for sales of $58.7 million suggests a 4.5% year-over-year rise.
Positive strong origination volume is anticipated to have aided the company in the to-be reported quarter, as concerns regarding loan activity and economy have subsided with greater vaccination penetration.
However, Main Street has been witnessing rise in general and compensation-related expenses for the past several quarters.
Earnings Whispers
According to our quantitative model, chances of the company beating the Zacks Consensus Estimate this time around are low. This is because it does not have the right combination of the two key ingredients — a positive Earnings ESP and Zacks Rank #3 (Hold) or better.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: The Earnings ESP for Main Street is 0.00%.
Zacks Rank: Main Street carries a Zacks Rank #3.
Main Street Capital Corporation Price and EPS Surprise
Main Street Capital Corporation price-eps-surprise | Main Street Capital Corporation Quote
Earnings Release Dates of Other Finance Companies
Among other finance stocks, FS Bancorp, Inc. FSBW is set to release results on May 7, while Gladstone Investment Corporation GAIN and OFS Capital Corporation OFS will report on May 11.
Zacks Top 10 Stocks for 2021
In addition to the stocks discussed above, would you like to know about our 10 best buy-and-hold tickers for the entirety of 2021?
Last year's 2020 Zacks Top 10 Stocks portfolio returned gains as high as +386.8%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
AccessZacks Top 10 Stocks for 2021 today >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Gladstone Investment Corporation (GAIN) : Free Stock Analysis Report
Main Street Capital Corporation (MAIN) : Free Stock Analysis Report
OFS Capital Corporation (OFS) : Free Stock Analysis Report
FS Bancorp, Inc. (FSBW) : Free Stock Analysis Report
To read this article on Zacks.com click here.
