Discovery Communications Q2 Earnings Beat Estimates

The ratings lift comes after the media company yesterday reported better-than-expected earnings results for the second quarter of 2015 that beat analysts’ estimates on the bottom line. The 52-week high of the share price is $44 and the 52-week low is $26.52. Discovery Communications Inc (DISCA) has a price to earnings ratio of 16.94 versus Services sector average of 19.39.

The company has bought back $575 million of shares this year, including $52 million of stock it has agreed to buy from Advanced New House, Warren added. The firm had revenue of $1.65 billion for the quarter, compared to the consensus estimate of $1.67 billion.

Discovery Communications, Inc. (DISCA): 13 analysts have set the short term price target of Discovery Communications, Inc.

Although there was little growth in U.S. advertising revenues for Discovery Communications’ second-quarter earnings report, the cable network company posted higher overall revenue from double-digit percentage growth distribution fees. Previously, the analysts had a Sell rating on the shares. (NASDAQ:DISCA) are trading -2.130% at the time of writing and in the range of 28.200 – 29.070 for the current session. The shares closed down 3.99 points or 12.14% at $28.87 with 12,193,915 shares getting traded. The stock has a consensus rating of “Hold” and an average target price of $36.37.

“We rate DISCOVERY COMMUNICATIONS INC (DISCA) a BUY”. The company has a market cap of $4,306 million and the number of outstanding shares have been calculated to be 149,152,000 shares.

Discovery Communications shares gained 0.46 percent to close at $32.86 yesterday.

Back home, Discovery signed a deal with Sony Corp.to be part of an online video-streaming service it plans to launch, becoming the second major media company after Viacom Inc.to do so. Among several factors, the company blamed a tougher ratings and ad sales climate for its U.S. cable networks. Discovery runs in three segments: U.S. Networks, consisting of national television networks and Websites; global Networks, consisting of worldwide television networks and Websites, and Education and Other. The Company’s Education and Other segment consists of curriculum-based product and service offerings, and production studios.