DreamWorks Animation SKG (Nasdaq: DWA ) is expected to report Q3 earnings on Oct. 30. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict DreamWorks Animation SKG's revenues will contract -17.2% and EPS will shrink -47.8%.
The average estimate for revenue is $133.1 million. On the bottom line, the average EPS estimate is $0.12.
Last quarter, DreamWorks Animation SKG recorded revenue of $162.8 million. GAAP reported sales were 25% lower than the prior-year quarter's $218.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, EPS came in at $0.15. GAAP EPS of $0.15 for Q2 were 63% lower than the prior-year quarter's $0.40 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 29.8%, 550 basis points worse than the prior-year quarter. Operating margin was 10.1%, 1,150 basis points worse than the prior-year quarter. Net margin was 7.8%, 780 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $673.4 million. The average EPS estimate is $0.78.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,110 members out of 1,181 rating the stock outperform, and 71 members rating it underperform. Among 310 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 295 give DreamWorks Animation SKG a green thumbs-up, and 15 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DreamWorks Animation SKG is hold, with an average price target of $17.59.