From Nasdaq, Inc.:

Virtu Financial, Inc. VIRT is set to report its fourth-quarter 2023 results on Jan 25, before the opening bell. The Zacks Consensus Estimate for fourth-quarter earnings per share of 45 cents suggests a 21.6% increase from the prior-year figure of 37 cents. The consensus estimate for fourth-quarter revenues of $279.2 million indicates a 1.9% rise from the year-ago reported figure.

Virtu Financial, Inc. is expected to have witnessed higher trading income in the quarter under review from both its operating segments due to various reasons, including increased interest and dividend income. The Zacks Consensus Estimate for fourth-quarter adjusted net trading income from the Market Making segment indicates an 8.5% year-over-year increase, whereas our estimate suggests 8.3% growth. The consensus mark for the same for the Execution Services segment indicates a 0.1% increase from a year ago, while our estimate suggests a 0.5% gain.

Our estimate for total operating expenses currently stands at $481.2 million, suggesting a more than 5% increase from the prior-year level, making an earnings beat uncertain. Our proven model does not conclusively predict an earnings beat for Virtu Financial this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you will see below.

While an earnings beat looks uncertain for Virtu Financial, here are some companies from the broader Finance space that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this time around: Coinbase Global, Inc. COIN, Chubb Limited CB, and Brookfield Asset Management Ltd. BAM.



Read more: Can Higher Costs Affect Virtu Financial’s (VIRT) Q4 Earnings?