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Disney's Q1 Earnings Cheat Sheet: All About Streaming

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Disney's Q1 Earnings Cheat Sheet: All About Streaming

Walt Disney Co (NYSE: DIS) is on deck to report its fiscal first-quarter results after Tuesday's market close. Analysts are looking for earnings of $1.56 per share and sales of $15.18 billion.

Ranganathan: 'Short-Term Pain'

The main focus on Disney's earnings report and conference call will be "streaming, streaming, streaming," Geetha Ranganathan said on Tuesday's "Bloomberg Markets." This will likely result in earnings pressure not only in the quarter, but the entire year as the streaming service will require investments in technology, marketing and content to become a "game changer."

Disney's print today and subsequent earnings releases could result in "short-term pain" for investors, but Ranganathan said this is required before seeing benefits of the longer-term streaming video market opportunity.

Littleton: 'Clarity And Insight'

Investors will be looking for "clarity and insight" as Disney is essentially transforming a large part of its entertainment business towards a streaming model, Cynthia Littleton, business editor at Variety said during CNBC's "Squawk Box" segment. Management has talked about its initiative for more than one year, but so far has not offered any "hard numbers."

Tuesday's print will offer some "hard numbers" although the company's scheduled Investor Day presentation for April implies investors will need to wait a few months for key data. For example, it won't be known Tuesday how much will be spent on original content and how much traditional revenue will management forego in favor of the streaming business.

Disney traded around $111.97 per share at time of publication.

Related Links:

Cramer Breaks Down Investing In Streaming Video: Content Is King

UBS Says Disney's Streaming Ambition Gives It A 'New Hope'

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