Time Warner Earnings Preview: Can This Streak Continue?

Time Warner (NYSE:TWX) will report earnings before markets open on Wednesday, May 1st. Time Warner Inc. is a media and entertainment company. The Company’s businesses include cable television networks that provide programming, feature films, television and home video production and distribution, and magazine publishing.

Here is your Cheat Sheet to Time Warner Earnings:

Earnings Expectations: Analysts expect earnings of $0.74 per share on revenues of $7.12 billion. Currently, the company’s P/E ratio stands at 19.28.

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 $0.74 to a profit $0.75. For the current year, the average estimate is a profit of $3.68, which is better than the estimate ninety days ago.

Earnings Trends:

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

Fiscal Year 2008 2009 2010 2011 2012
Revenue ($) in millions 26,520 25,390 26,890 28,970 28,730
Diluted EPS ($) -11.23 2.07 2.25 2.71 3.09

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 ($) in millions 8,193 6,979 6,744 6,842 8,164
Diluted EPS ($) 0.7647 0.59 0.44 0.86 1.208

Past Performance:
Time Warner has beat analyst estimates 4 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] wallstcheatsheet.com)