Invitation Home (INVH) came out with quarterly earnings of $0.29 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.02 per share a year ago. These figures are adjusted for non-recurring items.
A quarter ago, it was expected that this real estate investment trust focused on single-family rentals would post earnings of $0.28 per share when it actually produced a loss of $0.03, delivering a surprise of -110.71%.
Invitation Home, which belongs to the Zacks Real Estate – Operations industry, posted revenues of $432.43 million for the quarter ended June 2018, surpassing the Zacks Consensus Estimate by 0.07%. This compares to year-ago revenues of $242.22 million. The company has topped consensus revenue estimates two times over the last four quarters.
Invitation Home shares have lost about 0.1% since the beginning of the year versus the S&P 500′s gain of 6.9%.
What’s Next for Invitation Home?
While Invitation Home has underperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock?
Ahead of this earnings release, the estimate revisions trend for Invitation Home was mixed. While the magnitude and direction of estimate revisions could change following the company’s just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.29 on $435.46 million in revenues for the coming quarter and $1.18 on $1.73 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Real Estate – Operations is currently in the bottom 24% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.