Newmark Group (NMRK) posted quarterly earnings of $0.33 per share, beating the Zacks Consensus Estimate of $0.31 per share. That compares with earnings of $0.27 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of 6.45%. A quarter ago, this commercial real estate services provider was expected to post earnings of $0.22 per share, when it actually produced earnings of $0.22, with no surprise.

Over the past four quarters, the company has only beaten consensus EPS estimates once.

Newmark Group , which belongs to the Zacks Real Estate – Operations industry, reported revenue of $685.91 million for the quarter ending September 2024, missing the Zacks consensus estimate by 0.27%. This compares to last year’s revenue of $616.28 million. The company has beaten consensus revenue estimates twice over the past four quarters.

The sustainability of the stock’s immediate price movement based on recently released numbers and future earnings expectations will largely depend on management’s comments on the earnings call.

Newmark Group shares are up about 33.7% year-to-date, compared with the S&P 500’s 19.8% gain.

While Newmark Group has outperformed the market so far this year, the question on investors’ minds is: What’s next for the stock?

There are no simple answers to this key question, but one sure measure that can help investors sort this out is the company’s earnings outlook. It not only includes current consensus earnings expectations for the next quarter(s), but also how those expectations have changed recently.

Empirical research shows a strong correlation between short-term stock movements and earnings estimate revision trends. Investors can track such revisions themselves or rely on a tried-and-tested rating tool like Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Prior to this earnings release, the estimate revision trend for Newmark Group: Mixed. While the magnitude and direction of the estimate revisions could change following the company’s recently released earnings report, the current status translates to a Zacks Rank #3 (Hold) for the stock. So, the stock is expected to move in line with the market in the near future. You can see today’s full list of Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how the estimates for the next quarters and the current fiscal year change in the coming days. The current EPS consensus estimate is $0.48 on $776.15 million in revenue for next quarter and $1.15 on $2.64 billion in revenue for the current fiscal year.

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