MMI Earnings Prediction
The chart below shows how MMI performed 10 days before and after its earnings report, based on data from the past quarters. Typically, MMI sees a -3.42% change in stock price 10 days leading up to the earnings, and a -0.08% change 10 days following the report. On the earnings day itself, the stock moves by +1.45%. This data can give you a slight idea of what to expect for the next quarter's release.
MMI Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
240.08M
44.41%
42.47%
Gross Margin
34.58%
-0.03%
-1.59%
Operating Margin
2.79%
126.96%
-141.03%
Net Margin
3.56%
157.79%
-211.25%
EPS
0.22
181.48%
-257.14%
No Data Available
MMI Earnings Analysis
Marcus & Millichap Inc Corporation (MMI.N) Earnings Conference Call
Positive
Fourth Quarter Revenue Surge: Revenue for the fourth quarter was $240 million, up 44% compared to last year, indicating strong growth.
EBITDA Improvement Quarter-over-Quarter: Adjusted EBITDA for the fourth quarter was $18 million, a significant improvement from the previous year's negative EBITDA of $4.5 million.
Brokerage Revenue Surge: Brokerage revenue increased by 40% in the fourth quarter, with transaction count up 23% and volume growth of 41%, showcasing effective market performance.
Financing Revenue Surge: Financing revenue nearly doubled in the fourth quarter, with a 139% increase in volume, reflecting successful penetration into larger transactions.
Transaction Volume Surge: The company closed 7,800 transactions in 2024, with a total volume of $43.6 billion, representing a 414% increase over 2023, highlighting robust operational capacity.
Average Transaction Size Increase: The average transaction size increased to approximately $7 million in the fourth quarter, up from $6.2 million a year ago, indicating a shift towards larger deals.
Financial Stability Overview: The company maintained a strong balance sheet with no debt and $394 million in cash and marketable securities, providing financial stability.
Shareholder Value Commitment: Marcus and Millichap returned $170 million to shareholders through dividends and share repurchases since 2022, demonstrating commitment to shareholder value.
Investor Outreach Strategy: The company is focused on increasing investor outreach and client contact, which is expected to drive future growth and market penetration.
Negative
Net Loss Improvement: Net loss for the year was $12,400,000, although it was an improvement from the previous year's loss of $34,000,000, indicating ongoing challenges in achieving profitability.
Revenue Increase, Net Loss: Despite a significant revenue increase in the fourth quarter, the company still faced a net loss for the year, highlighting the struggle to return to consistent profitability.
Employee Turnover Impact: The company experienced elevated turnover of trainees and newer agents due to market conditions, which could impact future performance and growth.
Interest Rate Disruption: Interest rate volatility continues to be a disruptive factor, affecting the ability to close deals and impacting investor sentiment, with the ten-year treasury yield fluctuating significantly since March 2022.
Seasonal Revenue Decline: The first quarter of 2025 is expected to follow a seasonal decline in revenue compared to Q4 2024, indicating potential challenges in maintaining momentum.
Client Caution Impacting Transactions: The company noted that many clients have adopted a 'wait and see' approach, delaying inventory to market due to economic uncertainties, which could hinder transaction volume.
Economic Uncertainty and Real Estate: The overall economic environment remains uncertain, with inflation concerns and a strong labor market complicating the Fed's efforts to stabilize interest rates, which may further impact real estate transactions.
MMI FAQs
How does MMI typically perform around its earnings report dates?
Is Marcus & Millichap Inc (MMI) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
MMI Earning Call Sentiment
Earnings call transcript: Marcus and Millichap Q4 2024 sees revenue rise
MMI.N
0.03%Positive
The earnings call summary reveals strong financial performance with record-high revenue growth and improved net income, despite supply chain challenges. The company shows resilience with strategic investments and acquisition plans, and a commitment to shareholder returns. The Q&A highlighted ongoing transaction opportunities and investment in technology, although there are some uncertainties regarding external growth. The market cap suggests a moderate reaction, leading to a positive sentiment with expected stock price movement between 2% to 8% over the next two weeks.
