Rovi Corp Third Quarter Earnings Sneak Peek

Rovi Corporation (NASDAQ:ROVI) will unveil its latest earnings on Tuesday, November 8, 2011. Rovi focuses on powering the discovery and enjoyment of digital entertainment by providing companies a broad set of integrated solutions.

Rovi Corporation Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 46 cents per share, a rise of 9.5% 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 50 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 46 cents during the last month. For the year, analysts are projecting net income of $2.08 per share, a rise of 20.2% from last year.

Past Earnings Performance: The company fell short of estimates last quarter after topping forecasts the quarter prior. In the second quarter, it reported profit of 41 cents per share against a mean estimate of 49 cents. Two quarters ago, it beat expectations by 9 cents with net income of 50 cents.

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Wall St. Revenue Expectations: On average, analysts predict $197.9 million in revenue this quarter, a rise of 43.4% from the year ago quarter. Analysts are forecasting total revenue of $794 million for the year, a rise of 46.6% from last year’s revenue of $541.5 million.

Analyst Ratings: Analysts are bullish on this stock with 11 analysts rating it as a buy, none rating it as a sell and two rating it as a hold.

A Look Back: In the second quarter, the company swung to a loss of $10.7 million (10 cents a share) from a profit of $41.2 million (39 cents) a year earlier, missing analyst expectations. Revenue rose 43.2% to $193 million from $134.8 million.

Key Stats:

Revenue has risen the past four quarters. Revenue rose 24.1% in the first quarter from the year earlier, climbed 1.6% in the fourth quarter of the last fiscal year from the year-ago quarter and 19.7% in the third quarter of the last fiscal year.

Rovi’s loss in the latest quarter followed profits in the previous three quarters. The company reported a profit of $17 million in the first quarter, a profit of $67.2 million in the fourth of the last fiscal year and a profit of $36.4 million in the third quarter of the last fiscal year.

Competitors to Watch: Amazon.com, Inc. (NASDAQ:AMZN), Apple Inc. (NASDAQ:AAPL), TiVo Inc. (NASDAQ:TIVO), News Corporation (NASDAQ:NWSA), HSW International, Inc. (NASDAQ:HSWI), Martha Stewart Living Omnimedia, Inc. (NYSE:MSO), Meredith Corporation (NYSE:MDP), PRIMEDIA Inc. (NYSE:PRM), and Barnes & Noble, Inc. (NYSE:BKS).

Stock Price Performance: During October 5, 2011 to November 2, 2011, the stock price had risen $3.73 (8.6%) from $43.41 to $47.14. The stock price saw one of its best stretches over the last year between December 23, 2010 and January 5, 2011 when shares rose for nine-straight days, rising 14.7% (+$8.40) over that span. It saw one of its worst periods between March 24, 2011 and April 5, 2011 when shares fell for nine-straight days, falling 6.7% (-$3.78) over that span. Shares are down $14.87 (-24%) year to date.

(Source: Xignite Financials)

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