Bank of America Sees Solid Quarter Results from DISH Network Corporation

In a report published Monday, Bank of America analyst Jessica Reif Cohen reiterated an Underperform rating and $40.00 price target on DISH Network Corporation DISH. In the report, Bank of America noted, “DISH reported 1Q results generally meeting-or-exceeding most of projections. Consolidated revenue was $3.59bn, ~+6% y/y, a significant improvement in the growth rate of the core business compared with recent quarters. Calculated EBITDA of $710mn (ex. Stock-based comp) was light of consensus' expectations, but ahead of our $670mn estimate (+6.9% y/y growth). Stronger EBITDA was helped by better (but still high) subscriber related expenses, a line item which includes programming costs, of $2.1bn (+8.2% y/y). Programming costs included a significant retroactive payment to DIS (we estimate $50mn+).” DISH Network Corporation closed on Friday at $62.66.