The initial wave of companies reporting earnings was not as bad as previously thought, which gives at least somewhat of an optimistic tone for the first full trading week of May. As a result, this earnings season is likely to be all about guidance, as far as most companies are concerned.
24/7 Wall St. has put together a preview of some of the larger companies in tech, media and telecom that are reporting their quarterly results at the beginning of May. We have reviewed the consensus earnings estimates from Thomson Reuters and the stock price and trading history, as well as added some additional color on each.
The companies scheduled to report this week include Comcast Corp. (NASDAQ: CMCSA), DirecTV (NASDAQ: DTV), Walt Disney Co. (NYSE: DIS), Electronic Arts Inc. (NASDAQ: EA), Groupon Inc. (NASDAQ: GRPN), Sprint Corp. (NYSE: S), 3D Systems Corp. (NYSE: DDD), Alibaba Group Holding Ltd. (NYSE: BABA), Windstream Holdings Inc. (NASDAQ: WIN), Zynga Inc. (NASDAQ: ZNGA) and AOL Inc. (NYSE: AOL).
The cable giant is scheduled to release its most recent quarterly results on Monday. The consensus estimates are $0.74 in earnings per share (EPS) on $17.41 billion in revenue.
The merger between Comcast and Time Warner Cable is considered dead under the weight of regulators. According to Benzinga, analysts are saying that these cable companies might have to wait until the next presidential election before any merger hopes are renewed.
Comcast shares were trading at $58.41 on Friday’s close. The consensus analyst price target is $66.92, and the stock has a 52-week trading range of $49.16 to $60.85.
When DirecTV reports its first-quarter results on Tuesday, the analysts’ consensus estimates call for $1.53 in EPS and $8.47 billion in revenue.
Credit Suisse expects AT&T to close its acquisition of DirecTV at some point in 2015, while AT&T’s management appears more ambitious, thinking that it can close within the first half of 2015. Ultimately this acquisition would give AT&T the top position in the U.S. pay-TV market.
DirecTV shares closed trading at $90.40 on Friday. The consensus price target is $93.35, and the stock has a 52-week trading range of $77.50 to $91.79.
The Mouse House is scheduled to report its fiscal second-quarter earnings on Tuesday. The consensus estimates call for EPS of $1.10 and $12.25 billion in revenue.
Disney filed suit last week against Verizon Communications for allegedly violating the contract that Verizon has with ESPN for distributing the network’s sports programming. If Disney prevails, then it retains control over the content it has created, and the streaming digital world will very likely look a lot like the existing pay-TV world.
Disney shares were at $110.52 on Friday’s close. The consensus price target is $110.23. The 52-week trading range is $78.54 to $111.66.