Microsoft Corp Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Microsoft Corp (NASDAQ:MSFT) will unveil its latest earnings on Thursday, January 19, 2012. Microsoft develops, licenses, and supports a range of software products and services for a variety of computing devices.

Microsoft Corp Earnings Preview Cheat Sheet.

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 77 cents per share, no change 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 84 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 77 cents during the last month. For the year, analysts are projecting profit of $2.73 per share, a rise of 3% from last year.

Past Earnings Performance: Last quarter, the company met expectations by reporting net income of 68 cents per share last quarter. In the previous fourth quarter of the last fiscal year, the company beat estimates by 11 cents.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 5% in revenue from the year-earlier quarter to $20.94 billion.

Analyst Ratings: 16 out of 28 analysts surveyed (57.1%) have a buy rating on Microsoft.. This is below the mean analyst rating of 10 competitors, which average 63.3% buy ratings.

A Look Back: In the first quarter, profit rose 6.1% to $5.74 billion (68 cents a share) from $5.41 billion (62 cents a share) the year earlier, meeting analyst expectations. Revenue rose 7.3% to $17.37 billion from $16.2 billion.

Key Stats:

The company has seen net income rise in three straight quarters. Net income rose 30% in the fourth quarter of the last fiscal year and 30.6% in the third quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue rose 8.3% in the fourth quarter of the last fiscal year from the year earlier, climbed 13.3% in the third quarter of the last fiscal year from the year-ago quarter and 4.9% in the second quarter of the last fiscal year.

Competitors to Watch: Google Inc. (NASDAQ:GOOG), Novell, Inc. (NASDAQ:NOVL), Oracle Corporation (NASDAQ:ORCL), Intl. Business Machines Corp. (NYSE:IBM), Hewlett-Packard Company (NYSE:HPQ), Yahoo! Inc. (NASDAQ:YHOO), Apple Inc. (NASDAQ:AAPL), Adobe Systems Incorporated (NASDAQ:ADBE), Intel Corporation (NASDAQ:INTC), and Sony Corporation (NYSE:SNE).

Stock Price Performance: During December 14, 2011 to January 13, 2012, the stock price had risen $2.66 (10.4%) from $25.59 to $28.25. The stock price saw one of its best stretches over the last year between September 9, 2011 and September 19, 2011 when shares rose for seven-straight days, rising 5.7% (+$1.46) over that span. It saw one of its worst periods between November 15, 2011 and November 25, 2011 when shares fell for eight-straight days, falling 9.1% (-$2.44) over that span.

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

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