Earnings Review · 16 October 2026
The print
Revenue n/a. EPS $0.56 vs $1.21 expected.
What changed versus going in
Earnings came in at $0.56 a share against $1.21 expected, a miss of 54% (-$0.65 a share).
Did the flow confirm the move?
Underlying money flow reads as distribution (21-day Chaikin Money Flow -0.11, five-day price change -0.0%, as of 2026-10-14, desk flow model).
Give the business its due
The business itself is genuinely strong: revenue growing about 8%, net margins near 31%, a narrow competitive moat, backed by a 9% return on equity.
Levels that matter
At $45.57 the shares sit 19% below the 52-week high of $56.20 and 12% above the low of $40.78 (31% of the way up the range).
The valuation lens
Our fair-value work puts the shares about 31% below what the business is worth: value on offer. Fair value lands near $61 against a $46.57 share price, a margin of safety of about 31%. The trailing multiple sits around 11 times earnings, which only makes sense if the growth holds.
The ethical lens, our differentiator
Fails the principled screen, Business activity screen. A strong business is not the same as a suitable one; for a values-conscious book this is a do-not-chase regardless of the print.
The compliant alternative
If the theme is what draws you, Qatar Islamic Bank (Q.P.S.C.) (QIBK.QA) sits in the same industry (Banks – Regional) and clears our principled screen, the place to look instead of chasing a name that does not.
The verdict for a values-conscious investor
A beat-and-raise does not change the screen. This is a great company you can admire without owning, protection first. One quarter, strong or soft, does not decide whether a holding is suitable.
This is analysis, not financial advice. Always manage your risk.
