What to Watch: Credit Suisse
Credit Suisse Group AG is scheduled to announce its first-quarter sales before the market opens Tuesday. Here's what you need to know:
EARNINGS FORECAST: Analysts surveyed by Dow Jones & Co. forecast net income attributable to shareholders of CHF970 million, up 13% from CHF859 million reported a year earlier.
REVENUE FORECAST: Analysts surveyed by Dow Jones forecast revenue of CHF6.752 billion, down 1.1% from CHF6.829 billion reported a year earlier.
WHAT TO WATCH:
LEADERSHIP: The first-quarter will likely be the last earnings presentation Chief Executive Brady Dougan presides over as the Swiss bank readies for Tidjane Thiam, who is expected to join the bank from Prudential PLC this summer. Investors will be on the lookout for any comments about the leadership change.
FOREIGN EXCHANGE: Credit Suisse, which reports in Swiss francs, will likely feel the impact of the stronger currency. The franc got a boost in January when the Swiss National Bank decided to scrap the cap it had for the Swiss currency against the euro.
LEGAL COSTS: Investors will be on the lookout for any legal provisions Credit Suisse might make. In February, the bank cut its fourth-quarter earnings in a restatement because of CHF277 million in increased provisions for a U.S. investigation into mortgages.
COST CUTS: Investors will be on the lookout into any comments on how the bank might rein in its costs.