AOL: Here’s What Investors Need to Know Before Earnings

AOL (NYSE:AOL) will report earnings before markets open on Wednesday, May 8th. AOL Inc is a web services company. The Company’s business spans online content, products and services that the company offers consumers, publishers and advertisers. AOL focuses on attracting consumers and providing online advertising services on company owned and operated properties as well as third party websites. AOL also operates an internet subscription access service.

Here is your Cheat Sheet to Aol Earnings:

Earnings Expectations: Analysts expect earnings of $0.34 per share on revenues of $537.15 million. Currently, the company’s P/E ratio stands at 3.45.

Analyst Trends:

Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.28 to a profit $0.32. For the current year, the average estimate is a profit of $1.6, which is better than the estimate ninety days ago.

Earnings Trends:

Here’s how Aol has been performing on an annual basis:

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 4,166 3,246 2,417 2,202 2,192
Diluted EPS ($) -14.42 2.35 -7.34 0.12 11.21

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Dec. 31, 2011 Mar. 31, 2012 Jun. 30, 2012 Sep. 30, 2012 Dec. 31, 2012
Revenue ($) in millions 576.80 529.40 531.10 531.70 599.50
Diluted EPS ($) 0.2194 0.22 10.17 0.22 0.4038

Past Performance:
Aol has beat analyst estimates 3 times in the past four quarters. Shareholders could expect a boost if the company beats estimates.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]