Earnings Preview: Time Warner's EPS, Revenue Expected to Rise
Time Warner (NYSE: TWX) announces its next round of earnings this Wednesday, November 2, 2011. Here is Benzinga's everything-that-matters guide for this Wednesday's third quarter earnings announcement.
Earnings and Revenue:
Analysts are predicting an EPS reading of 75 cents/share and revenues of $6.97 billion. Time Warner's latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 62 cents/share on revenues of $6.38 billion. We'll have to wait for Wednesday to see if the company falls in line with analyst expectations and reports an estimated increase in both EPS and revenue from the year-ago quarter.
Here's how the company's reported EPS has stacked up against analyst estimates in the past:
| Quarter | Q2 | Q1 | Q4 | Q3 |
| EPS Estimate | $0.56 | $0.57 | $0.62 | $0.53 |
| EPS Actual | $0.60 | $0.58 | $0.67 | $0.62 |
Stock Performance:
Shares of Time Warner were trading at $35.80 as of October 27, 2011. Shares are up 13.6% year to date. For a full 12 months, the return has risen by 6.1%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.
- Long-term shareholders are already enjoying 12-month gains prior to the announcement
Average Stock Rating:
The average rating by analysts is a Moderate Buy. The strength of this rating has declined slightly over the past three months.
Competitors:
Want to check out the performance of Time Warner closest competitors? Take a look at some of the company's peers in the consumer discretionary sector.
- CBS (NYSE: CBS): Moderate Buy with a $0.58 recent quarter EPS
- Comcast (NASDAQ: CMCSA): Moderate Buy with a $0.42 recent quarter EPS
- Walt Disney Company (NYSE: DIS): Hold with a $0.78 recent quarter EPS
- Gannett (NYSE: GCI): Hold with a $0.44 recent quarter EPS
Time Warner is in the media conglomerate industry, which has experienced price/earnings growth of 1.3%.
Finally, a description of the company's main areas of operation: Time Warner is a media and entertainment company.
Take Action:
That's your advanced look at Time Warner's upcoming earnings numbers -- be ready to take quick action if the company's report contains any surprises. Also, check back in with us after the announcement for a full recap and what-to-do-next guide.
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