Whisper Number: How Will CBIZ, Inc. (CBZ) Investors React To Earnings?

33 days have passed by since the last earnings report for CBIZ, Inc. (NYSE:CBZ) and the new quarterly results look set to arrive in 58 days. The shares of CBZ at the moment are trading at a volume of 0.12 million, which compares with its normal daily standard volume of 206390 shares. This has led to the shares of the company declining by -0.98%, currently exchanging hands at $22.34 a share. CBZ stock has been up by $2.04 (-8.35%) ever since it reached its 52-week high of $24.38 back in September 18, 2018. It has progressed below its 50-day moving average of $22.53 and is down -0.89% over the past week. The stock has retreated -2.8% since the last one arrived so the question here is that will the downbeat trend in that time frame continue leading up to its next earnings release, or is the CBZ share price due for a breakout?

CBIZ, Inc. (CBZ) Forecasts And Latest Quarter Earnings

Ahead of their fiscal third-quarter to be released on Wednesday, Oct 30, 2019, 4 analysts who are covering the company are estimating that it will record a profit of $0.25 per share, with analysts having different outlooks from $0.23 to $0.26. The current agreed outlook, when compared to the profit recorded last year, is at $0.24 a share, thus an increase of 4.17% is expected. The profit view for a complete financial year for CBIZ, Inc. is expected to be around $1.22 in current year, a decline of nearly 11.93% from last year which was $1.09.

Analyzing The Earnings History Of CBIZ, Inc. (NYSE:CBZ)

In the past few years, the CBZ stock has been known to miss the Wall Street’s earnings projection. The company missed 25% of the time, according to the data pulled on their earnings, was able to meet predictions on 1 occasions and topped expectations 8 times. Looking at the past trend, the price of CBIZ, Inc. shares had risen following the release of their earnings in 20 of the last 38 quarters.

Looking back, here is how CBIZ, Inc. (CBZ) stock reacted to earnings misses and beats. It gave investors reason to be bearish with the price going down after 3 of the last four earnings reports. The shares of CBIZ, Inc. recorded 1.65%, -5.2%, -2.19% and -2.72%, respectively, on the first day of past earnings releases. After a week of earnings reports, the changes were -0.61%, -3.6%, 3.99% and -4.69%. Their post-earnings price movements have resulted in an average decrease of -2.12% and an average decrease of -1.23% in CBIZ, Inc. on next day and 7th day, sequentially. CBZ’s one month stock performance led to its shares declining by -3.37% with a return of -5.94% witnessed over the last 52 weeks.

The higher number of analysts at Reuters has assigned a buy or better ratings (2) on the CBIZ, Inc. stock, while 1 of them have a rating of a Hold with the 11-year target price suggested by the analysts standing at $24. This price target implies potential upside of 7.43 percent over the next 12 months based on the current share price.

CBIZ, Inc. (CBZ) Post Earnings Announcement Drift (PEAD)

Back on July 31, 2019, CBIZ, Inc. (NYSE:CBZ) released its Q2 results, in which it recorded EPS of $0.3 that exceeded consensus estimates of $0.26. After the earnings were reported, the price of CBZ stock kicked off the session at $23.3 and remained in a range of $23.3 to $24.02 on the first day. The shares were priced at $23.37 at the close with a total volume of shares being 351317.

On April 25, 2019, the Q1 earnings report was disclosed with EPS of $0.67. This was below the estimation of $0.7 per share. The stock price range of CBZ was between $19.71 and $20.16 on the first-day post announcement, after opening the day at $19.48. The session came to close at $19.5 and there was a total volume of 372254 shares.

February 13, 2019 was the day when its Q4 results were unveiled. The loss came in at -$0.02, beating the projected -$0.03 per share. The very next day, CBZ stock opened at $19.42 while staying in a range of $20.4 to $20.6. At the end, it moved to $20.09 a total volume of shares been 287240.

In the year-ago Q3 earnings on October 31, 2018, the company saw profit per share of $0.24. That was better than the $0.22 analysts had expected. CBIZ, Inc. share price started at $21.66 on the first full trading day post-earning and then exchanged hands between $23.12 and $23.12 throughout the session. The closing price of $22.18 came on the back of 365842 shares in volume.