Disney earnings won't be magical
Posted Feb 2nd 2007 12:00PM by Jonathan Berr
Walt Disney Co. (NYSE
IS) won't have to wish upon a star when it reports fiscal first quarter results on Feb. 7. The company's results, while not particularly magical, will be fine.
Revenue is expected to rise 7.6 percent to $9.52 billion, according to Thomson Financial. Profit is expected to drop to 39 cents from 35 cents as the second-largest media conglomerate boosts spending on its theme parks and digital business.
Last year was a good one for Disney at the box office. "Pirates of the Caribbean: Dead Man's Chest" was the top movie of the year, grossing more than $423 million, according to Box Office Mojo. Another Disney movie "Cars" was second with $244 million. ABC's "Dancing with the Stars" was the third-most popular last year while "Desperate Housewives" was the eighth, according to Nielsen Media Research. Of course, "Lost" will attract scads of viewers once original shows start airing.
The theme parks have done well this year. Chief Financial Officer Thomas Skaggs said in December that the company was looking to expand its theme park business outside the U.S. The weak dollar should be good for Walt Disney World and Disneyland Park which attract tourists from Europe and Asia.
Wall Street has mixed views on Disney.
Fourteen analysts rate the stock either a strong buy or buy. Twelve consider it a hold and one a sell. Their mean price target is $37.62.
Also check out some other earnings reports that we're following, and let us know what you're expecting.
Posted Feb 2nd 2007 12:00PM by Jonathan Berr
Walt Disney Co. (NYSE
IS) won't have to wish upon a star when it reports fiscal first quarter results on Feb. 7. The company's results, while not particularly magical, will be fine.Revenue is expected to rise 7.6 percent to $9.52 billion, according to Thomson Financial. Profit is expected to drop to 39 cents from 35 cents as the second-largest media conglomerate boosts spending on its theme parks and digital business.
Last year was a good one for Disney at the box office. "Pirates of the Caribbean: Dead Man's Chest" was the top movie of the year, grossing more than $423 million, according to Box Office Mojo. Another Disney movie "Cars" was second with $244 million. ABC's "Dancing with the Stars" was the third-most popular last year while "Desperate Housewives" was the eighth, according to Nielsen Media Research. Of course, "Lost" will attract scads of viewers once original shows start airing.
The theme parks have done well this year. Chief Financial Officer Thomas Skaggs said in December that the company was looking to expand its theme park business outside the U.S. The weak dollar should be good for Walt Disney World and Disneyland Park which attract tourists from Europe and Asia.
Wall Street has mixed views on Disney.
Fourteen analysts rate the stock either a strong buy or buy. Twelve consider it a hold and one a sell. Their mean price target is $37.62.
Also check out some other earnings reports that we're following, and let us know what you're expecting.