BGCP - BGC Partners sees Q4 earnings recovering; shares gain 6.4%

BGC Partners (BGCP) climbs 6.4% after guiding that Q4 adjusted earnings to at least match last year's level.Chairman and CEO Howard W. Lutnick credits the firm's investment in Fenics and its insurance brokerage group.Sees insurance brokerage group turning profitable in Q4 and full-year 2021."We believe the macro trends of accelerated adoption of electronic trading, record levels of global debt issuance, and a hardening insurance market will drive positive fundamentals for our businesses," Lutnick said.Sees Q4 revenue of $440M-$490M vs. $445.2M consensus and $455.0M Q3 revenue.Sees Q4 pretax adjusted earnings of $65M-$85M vs. actual $73.2M in Q4 2019.Q3 adjusted EPS of 11 cents matched the consensus estimate and declined from 15 cents in Q3 2019.Continues to explore possible conversion into a simpler corporate structure.Q3 total revenue of $455.0M beat the average analyst estimate of $451.1M and declined 13% Y/Y.See BGCP's history of quarterly earnings surprises:Insurance revenue of $43.3M rose 9.0% Y/Y.Total Fenics

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BGC Partners sees Q4 earnings recovering; shares gain 6.4%