Some TV executives are crowing about the pending boom in advertising, which we believe could not only help broadcasters and media companies like CBS Corp. (CBS), Viacom, Inc. (VIA) and The Walt Disney Company (DIS) as well as satellite pay-TV providers like DirecTV (DTV) and Dish Network (DISH). Our price estimate for DirecTV stands at $48.63 which is roughly a premium of 7% to the market price.
CBS (CBS) competes with other media conglomerates like Disney (DIS), News Corp. (NWSA), Time Warner (TWX) and Viacom (VIA) in the media and entertainment business.
The company recently released its fourth quarter 2010 earnings. Based on observed improvements in margins across all categories, an improving advertising environment and continued growth in the local broadcasting segment, we have updated our price estimate for CBS stock to $26.34. Our price estimate for CBS stands at 18% premium to the market price.
The earnings season has been going pretty good so far, and Walt Disney (DIS) will get its chance to impress Wall Street this afternoon when it reports its fiscal first quarter results after the market closes.
Going into this afternoon's report, analysts are expecting to see the company report earnings of $0.56 per share, up from $0.47 during the same period last year.
Teams have been preparing their game plans and it's time to see which of the 60 teams will win. No, not the Packers or Steelers -- Go Pack! -- but PepsiCo (PEP), Anheuser-Busch (BUD), General Motors (GM) and all the other companies competing for the best spots in one of TV's most expensive marketing moments, costing an estimated $3 million dollars per 30 second spot.
For those not into football, the ads in the Super Bowl game can be more amusing than the game itself as advertising teams compete for attention, show their best efforts and even get rated by numerous online sites. Last year, Doritos (owned by PepsiCo), and E-Trade (ETFC) did well, and Anheuser-Busch seems to always have a Clydesdale horse in the running.
Headed into this earnings report, analysts had been expecting to see the company report $0.83 per share, but the Campbell's came up a little short, reporting actual earnings of $0.82.
Fashion firm Gap (GPS) has had its fair share of struggles recently -- what with the economic crisis and all, not many people want to dish out a lot of money for khakis and tight sweaters. In recent months, Gap has seen sales cool and reported that same-store sales dropped 4% during the second quarter.
So, what do you do with the holiday shopping season approaching and sales slumping? Do you drop prices across the board to try and attract more shoppers? Do you advertise these new prices so cash-strapped college kids know they can now get their khakis and button-ups cheaper? No. The brand geniuses over at the Gap decide this is time to replace the companies iconic blue box logo with something a bit more modern.
Apple, Inc. (AAPL) only entered the mobile advertising market a few months ago, but the company has already been successful at taking away crucial mobile advertising revenue from giants such as Yahoo! Inc. (YHOO) and Google, Inc. (GOOG).
Apple was definitely a late comer to the mobile advertising party, but it has nonetheless made a quick impact. According to a report from Bloomberg Businessweek today, Apple could end the year with a nice 21% share of the market.
As we noted in our earnings preview, Google has done very well over the past couple of years, and the company has outpaced analyst estimates each of the past seven quarters.
One thing is certain: the two big winners will be the NFL Network and ESPN. These two networks are the sole television broadcast outlets for the Draft (aside from NFL.com, where you will be able to watch the NFL Network's coverage), and there are some major changes to the broadcast this year.
Going into this afternoon's earnings release analysts had forecast $6.60 per share, with actual earnings coming in better than expected at $6.76 excluding special items.
Twenty-six percent of businesses using Twitter say they'd pay for the right services, and that might just be good enough.
WebBizIdeas.com polled 850 Twitter business users about what services would lead them to pry open their wallets. Three quarters of them said they either weren't crazy or were unsure about paying for additional features like analytics (31% and 43%, respectively), which sounds like a menacing amount. Yet, the size of this social media environment may make the 26% sufficient.
Twitter's a pretty lucky company. Few get two bytes at the hype apple in rapid succession, but this social media platform has found a way to make up for its disappointing announcement about its advertising model. According to VentureBeat, Twitter might unveil its long-awaited, heavily-hyped and possibly investor-satisfying corporate accounts. Next month, at its inaugural Chirp developer conference, we could finally see what might just be the foundation of Twitter's business model.
Rumor has it that Tiger Woods has started to brush up on his game a bit and some of golf's greats believe that he will be playing in the Masters. If, and when, he returns, Tiger will be a little lighter in the sponsorship arena, what with AT&T (T), Accenture (ACN), and PepsiCo's (PEP) Gatorade all having ended their sponsorship deals with Tiger.
Fear not though, Tiger is making enough money that he can actually turn down sponsors. Reportedly, an Irish bookie -- Paddy Power (awesome name) -- has made a $75 million offer to sponsor Tiger over the next five years.
Facebook's revenue trajectory – at least to the extent that it can be gauged – has been impressive. From $150 million in 2007, it grew to an estimated $280 million to $300 million in 2008 and a 2009 result that could range from $600 million to $700 million. Revenue has at least doubled every year, a trend that Inside Facebook expects to continue. Of course, these are all third-party estimates, and Facebook isn't saying a thing.
For the fiscal year, DISH saw total revenue of $11.66 billion -- 0.4% better than the $11.62 billion logged in the previous fiscal year. The network gained 249,000 net subscribers during the past quarter, pushing the year-end subscription numbers to 14.1 million by year's end.