Global entertainment and media company Disney (NYSE:DIS) will be reporting earnings tomorrow morning. Here’s what you need to know.
Disney met analysts’ revenue expectations last quarter, reporting revenues of $22.57 billion, up 6.3% year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates but a miss of analysts’ Entertainment revenue estimates.
Is Disney a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Disney’s revenue to grow 4.6% year on year to $24.63 billion, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $1.43 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. Disney has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Disney’s peers in the consumer discretionary segment, some have already reported their Q4 results, giving us a hint as to what we can expect. VF Corp delivered year-on-year revenue growth of 1.9%, beating analysts’ expectations by 1.2%, and Malibu Boats reported a revenue decline of 5.1%, topping estimates by 4.8%. VF Corp traded up 1.4% following the results while Malibu Boats’s stock price was unchanged.
Read our full analysis of VF Corp’s results here and Malibu Boats’s results here.
Investors in the consumer discretionary segment have had steady hands going into earnings, with share prices flat over the last month. Disney is up 3% during the same time and is heading into earnings with an average analyst price target of $124.56 (compared to the current share price of $114.44).
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