Sealed Air Corp. Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Sealed Air Corp. (NYSE:SEE) will unveil its latest earnings on Thursday, February 9, 2012. Sealed Air, through its subsidiaries, is a global manufacturer of a variety of packaging materials and equipment systems. Its product brands include Bubble Wrap and Instapak. These offerings are used in a range of food, industrial, medical and consumer applications.

Sealed Air Corp. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 50 cents per share, a rise of 8.7% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 49 cents. Between one and three months ago, the average estimate moved up. It has dropped from 51 cents during the last month. For the year, analysts are projecting profit of $1.73 per share, a rise of 8.1% from last year.

Past Earnings Performance: The company fell short of estimates last quarter after topping forecasts the quarter prior. In the third quarter, it reported net income of 48 cents per share against a mean estimate of 49 cents. Two quarters ago, it beat expectations by 2 cents with profit of 40 cents.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 6.6% in revenue from the year-earlier quarter to $1.29 billion.

Analyst Ratings: Analysts are bullish on Sealed Air as three analysts rate it as a buy, none rate it as a sell and three rate it as a hold. Over the past 90 days, the average rating for the stock has moved up from hold to moderate buy.

A Look Back: In the third quarter, profit fell 3.7% to $73.7 million (41 cents a share) from $76.5 million (43 cents a share) the year earlier, missing analyst expectations. Revenue rose 10.4% to $1.25 billion from $1.13 billion.

Key Stats:

Revenue has risen the past four quarters. Revenue rose 11.3% in the second quarter from the year earlier, climbed 6.3% in the first quarter from the year-ago quarter and 5.5% in the fourth quarter of the last fiscal year.

While the company has been profitable for the last eight quarters, income has fallen year over year by an average of 7.6% over the past four quarters. The quarter hit the hardest was the fourth quarter of the last fiscal year, that saw a 21.2% drop.

Stock Price Performance: During January 5, 2012 to February 3, 2012, the stock price had risen $3.32 (19.1%) from $17.39 to $20.71. The stock price saw one of its best stretches over the last year between November 29, 2011 and December 7, 2011 when shares rose for seven-straight days, rising 12.8% (+$2.13) over that span. It saw one of its worst periods between February 14, 2011 and February 24, 2011 when shares fell for eight-straight days, falling 4.6% (-$1.27) over that span.

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

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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