THQ Inc. Third Quarter Earnings Sneak Peek

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THQ, Inc. (NASDAQ:THQI) will unveil its latest earnings on Thursday, February 2, 2012. THQ is a worldwide developer and publisher of interactive entertainment software for all popular game systems.

THQ, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 76 cents per share, a rise of more than twofold from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from $1.33. Between one and three months ago, the average estimate moved down. It has been unchanged at 76 cents during the last month.

Past Earnings Performance: The company topped estimates last quarter after missing forecasts the quarter prior. In the second quarter, it reported a loss of 71 cents per share against a mean estimate of net loss of 86 cents per share. In the first quarter, it missed forecasts by 33 cents.

Investing Insights: Will the iPad 3 Be the Next Catalyst for Apple’s Stock?

Wall St. Revenue Expectations: Analysts are projecting a rise of 29.2% in revenue from the year-earlier quarter to $417.6 million.

Analyst Ratings: Analysts seem relatively indifferent about THQ with 11 of 12 analysts surveyed maintaining a hold rating.

A Look Back: In the second quarter, the company’s loss widened to a loss of a $92.4 million ($1.35 a share) from a loss of $47 million (69 cents) a year earlier, but beat analyst expectations. Revenue rose 89.5% to $146 million from $77.1 million.

Key Stats:

The company’s revenue has risen for two straight quarters. In the first quarter, the figure rose 30.6%.

Competitors to Watch: Electronic Arts Inc. (NASDAQ:ERTS), Microsoft Corporation (NASDAQ:MSFT), Take-Two Interactive Software, Inc. (NASDAQ:TTWO), Activision Blizzard, Inc. (NASDAQ:ATVI), KONAMI CORPORATION (NYSE:KNM), Majesco Entertainment Co. (NASDAQ:COOL), The Walt Disney Company (NYSE:DIS) and Sony Corporation (NYSE:SNE).

Stock Price Performance: During October 31, 2011 to January 27, 2012, the stock price had fallen $1.41 (-66.2%) from $2.13 to 72 cents. The stock price saw one of its best stretches over the last year between October 12, 2011 and October 19, 2011 when shares rose for six-straight days, rising 15.5% (+25 cents) over that span. It saw one of its worst periods between November 11, 2011 and November 21, 2011 when shares fell for seven-straight days, falling 20.4% (-49 cents) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

Investing Insights: Will the iPad 3 Be the Next Catalyst for Apple’s Stock?

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com

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