Disney Earnings SNEAK PEEK

S&P 500 (NYSE:SPY) component Walt Disney (NYSE:DIS) will unveil its latest earnings today, Tuesday, August 7, 2012. Walt Disney is an entertainment company with operations in: media networks, parks and resorts, studio entertainment, and consumer products.

Walt Disney Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for profit of 93 cents per share, a rise of 19.2% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved up from 91 cents. Between one and three months ago, the average estimate moved up. It has risen from 92 cents during the last month. Analysts are projecting profit to rise by 18.9% compared to last year’s $3.02.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 2 cents, reporting net income of 58 cents per share against a mean estimate of profit of 56 cents per share.

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A Look Back: In the second quarter, profit rose 21.3% to $1.14 billion (63 cents a share) from $942 million (49 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 6.1% to $9.63 billion from $9.08 billion.

Stock Price Performance: Between May 7, 2012 and August 6, 2012, the stock price rose $6.72 (15.65%), from $42.93 to $49.65. The stock price saw one of its best stretches over the last year between June 1, 2012 and June 8, 2012, when shares rose for six straight days, increasing 4.1% (+$1.84) over that span. It saw one of its worst periods between July 2, 2012 and July 11, 2012 when shares fell for seven straight days, dropping 3% (-$1.45) over that span.

Wall St. Revenue Expectations: Analysts are projecting a rise of 5.8% in revenue from the year-earlier quarter to $11.3 billion.

Key Stats:

After experiencing income increases the last three quarters, the company is hoping to keep the good news coming with this earnings announcement. Net income rose 30.2% in the fourth quarter of the last fiscal year and 12.4% in the first quarter before increasing again in the second quarter.

On the top line, the company is looking to build on four-straight revenue increases heading into this earnings announcement. Revenue rose 6.7% in the third quarter of the last fiscal year, 7% in the fourth quarter of the last fiscal year and 0.6% in the first quarter before increasing again in the second quarter.

Analyst Ratings: With 17 analysts rating the stock a buy, none rating it a sell and eight rating the stock a hold, there are indications of a bullish stance by analysts.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 1.14 last quarter. The current ratio is an indication of a firm’s liquidity and ability to meet creditor demands and generally, for every dollar the company owes in the short term, it has that figure available in assets that can be converted to cash in the short term.

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

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