Global media and entertainment company iHeartMedia (NASDAQ:IHRT) will be reporting results tomorrow before market open. Here’s what you need to know.
iHeartMedia beat analysts’ revenue expectations by 1.4% last quarter, reporting revenues of $929.1 million, flat year on year. It was a softer quarter for the company, with a miss of analysts’ earnings estimates.
Is iHeartMedia a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting iHeartMedia’s revenue to grow 4.9% year on year to $1 billion, a reversal from the 3.6% decrease it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. iHeartMedia has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 1.4% on average.
Looking at iHeartMedia’s peers in the consumer discretionary segment, some have already reported their Q3 results, giving us a hint as to what we can expect. FOX delivered year-on-year revenue growth of 11.1%, beating analysts’ expectations by 5.7%, and E.W. Scripps reported revenues up 14.1%, topping estimates by 2.7%. FOX traded up 4.1% following the results while E.W. Scripps was down 35.1%.
Read our full analysis of FOX’s results here and E.W. Scripps’s results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 3.3% on average over the last month. iHeartMedia is down 6.7% during the same time and is heading into earnings with an average analyst price target of $1.67 (compared to the current share price of $1.95).
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