Time Warner, Inc. Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Time Warner, Inc. (NYSE:TWX) will unveil its latest earnings on Wednesday, August 3, 2011. Time Warner, Inc. is a media and entertainment company with businesses such as: interactive services, filmed entertainment, cable systems, television networks and publishing.

Time Warner, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 56 cents per share, a rise of 12% 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 61 cents. Between one and three months ago, the average estimate moved down and dropped from 57 cents during the last month. For the year, analysts are projecting net income of $2.76 per share, a rise of 14.5% from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by one cent, reporting profit of 58 cents per share against a mean estimate of net income of 57 cents per share.

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Wall St. Revenue Expectations: On average, analysts predict $6.81 billion in revenue this quarter, a rise of 6.7% from the year ago quarter. Analysts are forecasting total revenue of $28.64 billion for the year, a rise of 6.5% from last year’s revenue of $26.89 billion.

Analyst Ratings: Analysts are bullish on this stock with 17 analysts rating it as a buy, none rating it as a sell and 10 rating it as a hold.

Key Stats:

The decrease in profit in the first quarter comes after net income rose in the previous quarter. In the first quarter, net income fell 9.9% to $653 million. In the fourth quarter of the last fiscal year, net income rose 22.6%.

The company’s revenue has now risen for two straight quarters. In first quarter, revenue increased 5.7% to $6.68 billion from the year earlier quarter. In the fourth quarter of the last fiscal year, the figure rose 59.6%.

Competitors to Watch: News Corporation (NASDAQ:NWSA), The Walt Disney Company (NYSE:DIS), CBS Corporation (NYSE:CBS), Comcast Corporation (NASDAQ:CMCSA), Time Warner Cable Inc. (NYSE:TWC), Sony Corporation (NYSE:SNE), Liberty Global Inc. (NASDAQ:LBTYA), Gannett Co., Inc. (NYSE:GCI), Yahoo! (NASDAQ:YHOO), Microsoft (NASDAQ:MSFT), Google (NASDAQ:GOOG), InterActive Corp (NASDAQ:IACI), Netflix (NASDAQ:NFLX), TiVo (NASDAQ:TIVO) and Liberty Media Corp (NASDAQ:LSTZA).

Stock Price Performance: During May 3, 2011 to July 28, 2011, the stock price had fallen $1.72 (-4.6%) from $37.48 to $35.76. The stock price saw one of its best stretches over the last year between December 29, 2010 and January 7, 2011 when shares rose for eight-straight days, rising 4.1% (+$1.28) over that span. It saw one of its worst periods between January 12, 2011 and January 20, 2011 when shares fell for six-straight days, falling 3.9% (-$1.30) over that span. Shares are up $4.00 (+12.6%) year to date.

(Source: Xignite Financials)

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