Discovery Communications closed at $31.20 in the latest trading session, marking a +1.69% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.52%.
Prior to today's trading, shares of the operator of cable TV channels such as TLC and Animal Planet had lost 4.57% over the past month. This has lagged the Consumer Discretionary sector's gain of 10.71% and the S&P 500's gain of 2.25% in that time.
DISCA will be looking to display strength as it nears its next earnings release. On that day, DISCA is projected to report earnings of $0.59 per share, which would represent a year-over-year decline of 23.38%. Our most recent consensus estimate is calling for quarterly revenue of $2.97 billion, up 16.77% from the year-ago period.
DISCA's full-year Zacks Consensus Estimates are calling for earnings of $1.95 per share and revenue of $12.1 billion. These results would represent year-over-year changes of -39.06% and +13.43%, respectively.
Any recent changes to analyst estimates for DISCA should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. DISCA is currently a Zacks Rank #3 (Hold).
In terms of valuation, DISCA is currently trading at a Forward P/E ratio of 15.72. For comparison, its industry has an average Forward P/E of 14.55, which means DISCA is trading at a premium to the group.
Meanwhile, DISCA's PEG ratio is currently 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. DISCA's industry had an average PEG ratio of 1.5 as of yesterday's close.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 80, which puts it in the top 32% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Discovery Communications (DISCA) Outpaces Stock Market Gains: What You Should Know
Discovery Communications closed at $31.20 in the latest trading session, marking a +1.69% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.52%.
Prior to today's trading, shares of the operator of cable TV channels such as TLC and Animal Planet had lost 4.57% over the past month. This has lagged the Consumer Discretionary sector's gain of 10.71% and the S&P 500's gain of 2.25% in that time.
DISCA will be looking to display strength as it nears its next earnings release. On that day, DISCA is projected to report earnings of $0.59 per share, which would represent a year-over-year decline of 23.38%. Our most recent consensus estimate is calling for quarterly revenue of $2.97 billion, up 16.77% from the year-ago period.
DISCA's full-year Zacks Consensus Estimates are calling for earnings of $1.95 per share and revenue of $12.1 billion. These results would represent year-over-year changes of -39.06% and +13.43%, respectively.
Any recent changes to analyst estimates for DISCA should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. DISCA is currently a Zacks Rank #3 (Hold).
In terms of valuation, DISCA is currently trading at a Forward P/E ratio of 15.72. For comparison, its industry has an average Forward P/E of 14.55, which means DISCA is trading at a premium to the group.
Meanwhile, DISCA's PEG ratio is currently 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. DISCA's industry had an average PEG ratio of 1.5 as of yesterday's close.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 80, which puts it in the top 32% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.