Media broadcasting company Sinclair (NASDAQ: SBGI) will be reporting results tomorrow after market close. Here’s what you need to know.
Sinclair met analysts’ revenue expectations last quarter, reporting revenues of $1.00 billion, up 21.5% year on year. It was a strong quarter for the company, with a solid beat of analysts’ EPS estimates.
Is Sinclair a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Sinclair’s revenue to decline 3% year on year to $774.3 million, a reversal from the 3.2% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.67 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. Sinclair has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Sinclair’s peers in the media & entertainment segment, some have already reported their Q1 results, giving us a hint as to what we can expect. IMAX delivered year-on-year revenue growth of 9.5%, beating analysts’ expectations by 2.9%, and Interpublic Group reported a revenue decline of 8.5%, in line with consensus estimates. IMAX traded down 3.2% following the results while Interpublic Group was up 2.7%.
Read our full analysis of IMAX’s results here and Interpublic Group’s results here.
There has been positive sentiment among investors in the media & entertainment segment, with share prices up 11.2% on average over the last month. Sinclair is up 15.3% during the same time and is heading into earnings with an average analyst price target of $17 (compared to the current share price of $15.32).
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