Investing

Earnings Previews: AES, AMC, Block, Virgin Galactic, Warner Bros Discovery

Second-quarter revenue is forecast at $1.18 billion, up 50.7% sequentially and 151.0% higher year over year. Analysts expect AMC to report a loss per share in the quarter of $0.23, much better than the prior quarter’s loss of $0.65 per share and better than last year’s quarterly loss of $0.71 per share. For the full 2022 fiscal year, AMC currently is expected to post a loss per share of $1.16, compared with last year’s loss of $2.50 per share. Revenue is forecast to rise by 72.3% to $4.36 billion.

AMC is not expected to post a profit in 2022, 2023 or 2024. The stock trades at a sales-to-enterprise value multiple of 4.2 times its forecast 2022 sales, 3.6 times 2023 estimated sales and 3.5 times the 2024 estimated sales. The stock’s 52-week range is $9.70 to $52.79, and AMC does not pay a dividend. Total shareholder return over the past year was about negative 52.1%.

Block

Over the past 12 months, Block Inc. (NYSE: SQ) has seen its share price fall by about 71%, with all the decline coming since early November. The fintech company got a boost Wednesday morning following PayPal’s earnings report. Investors are going to be most interested in what Block has to say about its outlook for the second half of this year. Inflation and recession worries will affect consumer spending, and that is where Block makes its money.

Analysts remain mostly bullish on the shares, with 35 of 47 brokerages having a rating of Buy or Strong Buy. Another 10 rate the stock at Hold. At a share price of around $79.10, the upside potential based on a median price target of $111.00 is 40%. At the high price of $210.00, the upside potential is 89.2%.

Second-quarter revenue is forecast at $4.33 billion, up 9.5% sequentially but down 7.5% year over year. Adjusted EPS are expected to come in at $0.16, down 10.9% sequentially and by 75.8% year over year. For full fiscal 2022, estimates call for EPS of $0.83, down 51.3%, on sales of $17.61 billion, down 0.3%.

Square stock trades at 95.1 times expected 2022 EPS, 49.3 times estimated 2023 earnings of $1.60 and 32.7 times estimated 2024 earnings of $2.42 per share. The stock’s 52-week range is $56.01 to $289.23. Square does not pay a dividend. The total shareholder return for the past year was negative 71%.

Virgin Galactic

For the past 12 months, shares of Virgin Galactic Holdings Inc. (NYSE: SPCE) have tumbled by 75.4%. The stock’s 52-week high was posted on August 9 of last year, and the stock was on a steady downhill run until about mid-May. Since then, the share price has increased by about 34%.

The company has been dogged by a decision last year to delay further space tourism flights until late this year. Shares jumped 6% on Tuesday following the announcement that the company had acquired the land it needed to build an astronaut campus and training facility next to its New Mexico headquarters.

Sponsored: Find a Qualified Financial Advisor

Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.