Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at support@zacks.com or call 800-767-3771 ext.  9339.

Meredith Corporation (MDP - Analyst Report), which is scheduled to report its second-quarter 2013 earnings on Jan 24, reaffirmed its earlier adjusted earnings projection of $2.60 to $2.95 per share for fiscal 2013. Moreover, for the second quarter, earnings are forecasted in the range of 85 cents to 90 cents.

The current Zacks Consensus Estimate for the second-quarter of fiscal 2013 stands at 88 cents a share, indicating an estimated year-over-year increase of about 25%.  Moreover, the Zacks Consensus Estimate for fiscal 2013 stands at $2.80, reflecting an estimated year-over-year increase of 11.8%

The company also stated that due to the business realignments and workforce reductions related to its recent acquisitions, it will record $7 million ($4 million after-tax, or 10 cents per share) in charge during the upcoming quarter. 

Meredith has been constantly endeavoring to explore and add alternative revenue generating channels through acquisitions or strategic alliances. Thereby, the company attempted to reduce its dependence on conventional advertising.

The company is aggressively expanding its brands through online platforms, televisions, videos, mobile applications, and expanding its reach of food and lifestyle content across tablet products, such as the Apple Inc.’s (AAPL - Analyst Report) iPad, Barnes & Noble, Inc.’s (BKS - Snapshot Report) NOOK Color, Amazon.com Inc.’s (AMZN - Analyst Report) Kindle Fire, and Samsung Galaxy.

Meredith acquired “Every Day with Rachael Ray” the award-winning magazine of Reader's Digest Association, and assets of “FamilyFun”: magazine from Disney Publishing Worldwide.

Meredith, the media and publishing company, also acquired the world's No. 1 digital food site, “Allrecipes.com” for about $175 million, to expand its digital platform. The transaction will be modestly incremental to its earnings per share and free cash flow in fiscal 2013.

Going forward, management’s strategy will be focused upon bolstering advertising revenue, primarily in the digital space and enhancing online consumer transactions, especially magazine subscription orders. Moreover, the company will be focusing on brand licensing, marketing services and e-Commerce.

Currently, shares of Meredith hold a Zacks Rank #2 (Buy).

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
DIXIE GRP IN DXYN 15.84 +7.90%
BOFI HLDG IN BOFI 85.30 +4.97%
RAMBUS INC RMBS 12.31 +4.41%
VIPSHOP HOLD VIPS 148.73 +4.35%
NETFLIX INC NFLX 345.74 +4.32%