Disney: Analyst Sees ?Middling? Quarter Ahead

[Stocks-to-Watch]

Disney (DIS) reports fiscal first quarter earnings after the closing bell today, and Wunderlich Securities analyst Matthew Harrigan expects the company to post EPS* that equal last year’s result of 68 cents. The consensus estimate is 72 cents.

“Disney likely has the best long-term growth profile of any of the studio network houses, but has the most exposure to the global macro through advertising and park attendance cyclicality as well as a capital investment cycle that constrains free cash flow relative to peers. We look for an overall quiet FQ1, with sales up 3.3% to $11,076mm and adjusted EPS of $0.68 flat with last year.”

Harrigan increased his price target on the stock to $43 from $39. Shares were recently trading at $40.75.



Original Article Source by Barrons.com