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CBS Corporation (CBS - Analyst Report), an S&P 500 company and a diversified media conglomerate, is set to report its fourth-quarter 2012 results on Feb 14, 2013. In the last quarter, it posted a positive surprise of 8.3%. Let’s see how things are shaping up for this announcement.

Growth Factors this Past Quarter

CBS Corporation through its strategic initiatives focused on increasing subscription based revenue channels. The company remains optimistic and expects growth momentum to continue based on reverse compensation from affiliates, strong demand of its content, digital distribution, syndication sales and retransmission consent.

Earnings Whispers?

Our proven model does not conclusively show that CBS Corporation is likely to beat earnings this quarter. That is because a stock needs to have both a positive Earnings ESP (Read: Zacks Earnings ESP: A Better Method)and a Zacks Rank of #1, #2 or #3 for this to happen. This is not the case here as you will see below.

Negative Zacks ESP: The Most Accurate Estimate stands at 70 cents while the Zacks Consensus Estimate is pegged at 72 cents. This comes to a difference of -2.78%.

Zacks Rank #3 (Hold): CBS Corporation’s Zacks Rank #3 (Hold) lowers the predictive power of ESP because the Zacks Rank #3 when combined with a negative ESP makes surprise prediction difficult. We caution against stocks with Zacks Ranks #4 and #5 (Sell rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions momentum.

Other Stocks to Consider

Here are some other companies you may want to consider as our model shows they have the right combination of elements to post an earnings beat this quarter:

TiVo Inc. (TIVO - Analyst Report), Earnings ESP of +8.33% and a Zacks Rank #2 (Buy).

The Walt Disney Company (DIS - Analyst Report), Earnings ESP of +1.32% and a Zacks Rank #3 (Hold).

Comcast Corporation (CMCSA - Analyst Report), Earnings ESP of +1.89% and a Zacks Rank #3 (Hold).

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