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For the quarter, the Zacks Consensus Estimate for earnings has been steady at 76 cents per share over the past 30 days. The figure indicates a 16.5% decline from the year-ago reported figure.
The consensus mark for revenues, pegged at $6.59 billion, implies 7.7% increase from the year-ago reported figure.
Notably, the company’s earnings beat the Zacks Consensus Estimate in all of the trailing four quarters, the average earnings surprise being 9.6%.
Let’s see how things have shaped up for this announcement.
Factors to Consider
ViacomCBS’ third-quarter results are expected to have benefited from its solid cable network portfolio. The growing traction of Showtime, BET, Comedy Central and Nickelodeon is expected to have boost top-line growth.
Strong adoption of Paramount+ streaming service, which features a content catalog of more than 30,000 episodes, 2,500 movie titles and over 1,000 live sporting events, has been a key catalyst.
Improvement in the ad-spending environment, driven by the return of live sports globally, is expected to have been a key catalyst in driving ad revenues, which accounted for 32% of the company’s top line in the second quarter.
An expanding content catalogue of live sporting events and a solid portfolio of streaming services (both advertising and subscription-based offerings), including CBS All Access, Showtime OTT, Pluto TV, Noggin and BET+, are expected to have bumped up viewership and ad revenues in the third quarter.
In August, ViacomCBS logged more than 42.4 million subscribers across its streaming services, including Paramount+, Showtime and BET+.
Pluto TV has gained immense popularity with more than 250 live linear channels and thousands of hours of on-demand content. Pluto TV partners with more than 175 content providers, including media houses, film and TV studios that actually help it to produce a variety of content.
Pluto TV’s total global monthly active users (MAUs) were 52.3 million and revenues surge 169% year over year, more than doubling for the fourth quarter in a row. Domestic watch time per user grew 45% year over year in the second quarter. This momentum is expected to have continued in the to-be-reported quarter.
However, theatrical revenues of ViacomCBS are expected to have taken a hit in the reported quarter due to reduction in the capacity of movie theaters in response to the pandemic.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
ViacomCBS has an Earnings ESP of -2.73% and carries a Zacks Rank #3, currently. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat in their upcoming releases:
Image: Bigstock
ViacomCBS (VIAC) to Report Q3 Earnings: What's in the Cards?
ViacomCBS is set to report third-quarter 2021 results on Nov 4.
For the quarter, the Zacks Consensus Estimate for earnings has been steady at 76 cents per share over the past 30 days. The figure indicates a 16.5% decline from the year-ago reported figure.
The consensus mark for revenues, pegged at $6.59 billion, implies 7.7% increase from the year-ago reported figure.
Notably, the company’s earnings beat the Zacks Consensus Estimate in all of the trailing four quarters, the average earnings surprise being 9.6%.
ViacomCBS Inc. Price and EPS Surprise
ViacomCBS Inc. price-eps-surprise | ViacomCBS Inc. Quote
Let’s see how things have shaped up for this announcement.
Factors to Consider
ViacomCBS’ third-quarter results are expected to have benefited from its solid cable network portfolio. The growing traction of Showtime, BET, Comedy Central and Nickelodeon is expected to have boost top-line growth.
Strong adoption of Paramount+ streaming service, which features a content catalog of more than 30,000 episodes, 2,500 movie titles and over 1,000 live sporting events, has been a key catalyst.
Improvement in the ad-spending environment, driven by the return of live sports globally, is expected to have been a key catalyst in driving ad revenues, which accounted for 32% of the company’s top line in the second quarter.
An expanding content catalogue of live sporting events and a solid portfolio of streaming services (both advertising and subscription-based offerings), including CBS All Access, Showtime OTT, Pluto TV, Noggin and BET+, are expected to have bumped up viewership and ad revenues in the third quarter.
In August, ViacomCBS logged more than 42.4 million subscribers across its streaming services, including Paramount+, Showtime and BET+.
Pluto TV has gained immense popularity with more than 250 live linear channels and thousands of hours of on-demand content. Pluto TV partners with more than 175 content providers, including media houses, film and TV studios that actually help it to produce a variety of content.
Pluto TV’s total global monthly active users (MAUs) were 52.3 million and revenues surge 169% year over year, more than doubling for the fourth quarter in a row. Domestic watch time per user grew 45% year over year in the second quarter. This momentum is expected to have continued in the to-be-reported quarter.
However, theatrical revenues of ViacomCBS are expected to have taken a hit in the reported quarter due to reduction in the capacity of movie theaters in response to the pandemic.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.
ViacomCBS has an Earnings ESP of -2.73% and carries a Zacks Rank #3, currently. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few companies you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat in their upcoming releases:
AMC Entertainment (AMC - Free Report) has an Earnings ESP of +6.69% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Wesco International (WCC - Free Report) has an Earnings ESP of +7.87% and a Zacks Rank #3.
Fox (FOXA - Free Report) has an Earnings ESP of +6.18% and a Zacks Rank #3.