Everest Group (EG) shares plummeted 8.90% in pre-market trading on Thursday following the release of its first-quarter 2025 earnings report. The company's results fell short of analyst expectations, triggering a significant sell-off.
According to the earnings summary, Everest Group reported adjusted earnings of $6.45 per share for the quarter ended March 31, considerably lower than the mean expectation of $7.62 per share from thirteen analysts. This figure also represents a substantial decrease from the same quarter last year when the company reported earnings per share of $16.32. Revenue for the quarter rose 5.5% to $3.85 billion, but still fell short of the $3.93 billion analysts had anticipated.
The disappointing results have led to a mixed response from Wall Street. TD Cowen maintained a Hold rating on Everest Group, while Evercore ISI Group kept their In-Line rating. The current average analyst recommendation for the stock remains a "buy," with 7 "strong buy" or "buy" ratings and 7 "hold" ratings. However, it's worth noting that the mean earnings estimate has fallen by about 35.8% in the last three months, with seven analysts revising their earnings estimates negatively in the past 30 days. This suggests growing concerns about the company's near-term performance outlook.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.