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Satellite Communication Q2 Earnings on Jul 28: DGI, IRDM
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As we are getting into the thick of second-quarter earnings season, the pessimistic view of negative earnings growth still lingers but seems to have subsided a little. The Earnings Trend report predicts a 3.4% year-over-year drop in earnings of S&P 500 companies on the back of 0.5% lower revenues. Thus, the quarter is still on track to be in the negative for the fifth straight quarter. Additionally, growth estimates for third-quarter 2016 are starting to lean into the negative as well. However, we anticipate a change in the last quarter of the year with expectations of growth in earnings to pick up.
While our data points to the fifth consecutive quarter of an earnings decline, we focus on some satellite communication stocks that are expected to report their quarterly results on Jul 28.
Satellite Industry in a Nutshell
Satellite communication, on track to become a global industry, has had its share of earnings debacles and failures, courtesy unprofitable business models. However, with time these companies have developed into very successful in turn lucrative options for investors looking for a boost to their portfolio. As better satellite-receiving technology finds its way into more and more consumer devices, the possibilities are expanding and the success creating very prominent revenue footprints for these rapidly expanding companies. The industry is ranked 142 out of 250 industries in our Zacks Industry Rank list. As per the Zacks Industry Rank guideline, the outlook for this particular industry is neutral.
Here are two stocks from the industry to look out for when they announce their quarterly earnings on Jul 28.
DigitalGlobe, Inc. (DGI - Free Report) is a global provider of commercial high-resolution earth imagery products and services. The company carries a Zacks Rank #3 and an Earnings ESP of 0.00%. As per our proven model, a company needs the right combination of two key ingredients – a positive Earnings ESP and a Zacks Rank #3 (Hold) or better – to increase the odds of an earnings surprise. Thus, DigitalGlobe doesn’t conclusively show that it is likely to beat the Zacks Consensus Estimate this quarter.
Iridium Communications Inc. (IRDM - Free Report) is a provider of mobile voice and data communications services via satellite along with mobile satellite communications services. The stock has a combination of Zacks Rank #3 and Earnings ESP of 34.62%, making us confident about it beating the Zacks Consensus Estimate this quarter.
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Satellite Communication Q2 Earnings on Jul 28: DGI, IRDM
As we are getting into the thick of second-quarter earnings season, the pessimistic view of negative earnings growth still lingers but seems to have subsided a little. The Earnings Trend report predicts a 3.4% year-over-year drop in earnings of S&P 500 companies on the back of 0.5% lower revenues. Thus, the quarter is still on track to be in the negative for the fifth straight quarter. Additionally, growth estimates for third-quarter 2016 are starting to lean into the negative as well. However, we anticipate a change in the last quarter of the year with expectations of growth in earnings to pick up.
While our data points to the fifth consecutive quarter of an earnings decline, we focus on some satellite communication stocks that are expected to report their quarterly results on Jul 28.
Satellite Industry in a Nutshell
Satellite communication, on track to become a global industry, has had its share of earnings debacles and failures, courtesy unprofitable business models. However, with time these companies have developed into very successful in turn lucrative options for investors looking for a boost to their portfolio. As better satellite-receiving technology finds its way into more and more consumer devices, the possibilities are expanding and the success creating very prominent revenue footprints for these rapidly expanding companies. The industry is ranked 142 out of 250 industries in our Zacks Industry Rank list. As per the Zacks Industry Rank guideline, the outlook for this particular industry is neutral.
Here are two stocks from the industry to look out for when they announce their quarterly earnings on Jul 28.
DigitalGlobe, Inc. (DGI - Free Report) is a global provider of commercial high-resolution earth imagery products and services. The company carries a Zacks Rank #3 and an Earnings ESP of 0.00%. As per our proven model, a company needs the right combination of two key ingredients – a positive Earnings ESP and a Zacks Rank #3 (Hold) or better – to increase the odds of an earnings surprise. Thus, DigitalGlobe doesn’t conclusively show that it is likely to beat the Zacks Consensus Estimate this quarter.
DIGITALGLOBE Price and EPS Surprise
DIGITALGLOBE Price and EPS Surprise | DIGITALGLOBE Quote
Iridium Communications Inc. (IRDM - Free Report) is a provider of mobile voice and data communications services via satellite along with mobile satellite communications services. The stock has a combination of Zacks Rank #3 and Earnings ESP of 34.62%, making us confident about it beating the Zacks Consensus Estimate this quarter.
IRIDIUM COMMUN Price and EPS Surprise
IRIDIUM COMMUN Price and EPS Surprise | IRIDIUM COMMUN Quote
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