Cable news and media network Fox (NASDAQ: FOXA) will be reporting results tomorrow morning. Here’s what you need to know.
FOX beat analysts’ revenue expectations by 5% last quarter, reporting revenues of $5.08 billion, up 19.9% year on year. It was a stunning quarter for the company, with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
Is FOX a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting FOX’s revenue to grow 21.6% year on year to $4.19 billion, a reversal from the 15.6% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.90 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. FOX has missed Wall Street’s revenue estimates twice over the last two years.
Looking at FOX’s peers in the broadcasting segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Gray Television’s revenues decreased 5% year on year, beating analysts’ expectations by 1.1%, and TEGNA reported a revenue decline of 4.8%, in line with consensus estimates. Gray Television traded up 13.9% following the results while TEGNA was also up 2.5%.
Read our full analysis of Gray Television’s results here and TEGNA’s results here.
There has been positive sentiment among investors in the broadcasting segment, with share prices up 9% on average over the last month. FOX is up 3.7% during the same time and is heading into earnings with an average analyst price target of $55.22 (compared to the current share price of $51.38).
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