Renasant Corp Up 5.83% To $31.42 After Earnings Beat

Renasant Corp (RNST) surpassed earnings projections on 7/25/2023 for Q2 2023.

Analyst expectations for Renasant Corp earnings per share (EPS) were at $0.74, with the company surpassing those estimates with a reported EPS of $0.83, leading to a positive surprise of $0.09 per share (12%). Renasant Corp's earnings rose 15% year-over-year as the firm reported an EPS of $0.72 in its year-ago quarter. The positive annual growth shows the Financial Services company is performing well amid recent economic conditions.

Consensus analyst estimates were at $171.2 million. The Financial Services company missed on those expectations for its second quarter with revenue of $147.4 million, a negative revenue surprise of $23.7 million (14%). The firm managed negative 2% growth year-over-year due to Renasant Corp reporting quarterly revenue of $150.7 million in its year-ago quarter. Renasant Corp achieved a higher earnings growth rate than revenue, signaling that the business has improved its profit margin.

The stock is up 5.83% to $31.42 after the report.

Despite Renasant Corp reporting a decline in revenues, earnings increased signaling a rise in profit margins.

The average recommendation from Wall Street analysts was a Hold which may get revised based on this new data.

Trading in the five days leading up to the report earned Renasant Corp a Neutral Sentiment Rank from InvestorsObserver.

Prior to the report, InvestorsObserver gave the stock an overall score of 26. Meanwhile, the average Wall Street analyst rated the stock a Hold.

Renasant Corp operates as a holding company for Renasant Bank, a Mississippi banking corporation, and its subsidiary, Renasant Insurance, Inc. It has three reportable segments: community banks, insurance, and wealth management. With its community banks segment, the company provides a range of financial services to individuals and small businesses. Its insurance segment is an insurance agency providing commercial and personal insurance through third-party carriers. The wealth management segment provides a range of services including money management and retirement planning. The majority of the company's revenue is driven by lending activities in its community banks segment. Renasant Corporation primarily operates in the southern United States.