Real estate information and analytic service company CoreLogic (CLGX) popped on Oct 24 following a third quarter earnings report that attested to greatly increased profits on a year-over-year basis.
The Irvine Ca.-based data provider was buoyed by a renewed focus on Mortgage Origination Services (MOS) and Data and Analytics (D&A). In the earnings report, CEO Anand Nallathambi said the earnings beat could be credited to this focus, as the company still faces “market headwinds." Nallathambi continued: “CoreLogic delivered strong operating performance in the third quarter despite the sharp downturn in loan originations tied to refinancing and the continued drop in loan delinquency and foreclosure rates.”
Following the beat in both earnings and revenue, the company announced a share buyback of 2.1 million, bringing the total number of shares repurchased on the year to 5 million.
CorerLogic also raised guidance following the beat. While revnues have been down, cost-cutting has been an effective earnings generator for the company. They data provider plans to cut costs by an additional $25 million by 201.
For the third quarter, CoreLogic posted a profit of $50 million, or $0.48 per share on revenue of $405.5 million. The same quarter last year, the company posted earnings of 36.15 million, or $0.45 per share on revenue of $410 million. Analysts had been expecting earnings of $0.41 per share on revenues of $398 million.
CoreLogic popped on the news, gaining 17.33 percent in early trading to hit $31.68 a share on five times normal volume.
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