Stocks to watch: Walt Disney, Dean Foods

The entertainment giant tops earnings expectations but misses on revenue, and the US dairy company announces a spinoff.

By Melly Alazraki Aug 8, 2012 8:52AM
Walt Disney (DIS) profit rose a better-than expected 24% in the third-quarter compared to the year ago period, but revenue missed Wall Street's expectations. The entertainment giant reported third-quarter profit of $1.83 billion, or $1.01 a share, up from $1.48 billion, or 77 cents a share, a year earlier. Revenue grew 3.9% to $11.09 billion. According to Dow Jones Newswires, analysts polled by Thomson Reuters expected earnings of 93 cents share and revenue of $11.31 billion. DIS shares traded 1.2% lower in pre-market action.

Dean Foods (DF), said Tuesday it plans to sell 20% of WhiteWave Foods Co, a wholly owned subsidiary, which also sells International Delight coffee creamer products, in an initial public offering. Shares of Dean Foods soared 30% in pre-market trading.

The company also reported a better-than-expected second-quarter net income of $56 million, or 30 cents per share. Excluding items, the company earned 36 cents per share, topping analyst estimates by 5 cents per share, according to Thomson Reuters I/B/E/S. The U.S. dairy company also lifted profit guidance for the year.

Macy's (M) reported Wednesday a second-quarter profit of $279 million, or 67 cents a share, up from $241 million, or 55 cents a share, in the year-ago period. Sales increased to $6.1 billion from $5.9 billion. Analysts expected earnings of 64 cents a share on sales of $6.1 billion, according to a survey by FactSet, MarketWatch reported. Shares of Macy's rose 3.2% in pre-market trading.

Priceline.com (PCLN), the online travel agency, reported better-than expected quarterly profit on Tuesday, but provided investors with a disappointing outlook. The company said it expects adjusted profit  of $11.10 to $12.10 a share for the current quarter, much lower than analyst estimates of $12.76 a share, according to Thomson Reuters I/B/E/S. Shares of Priceline.com sank 15% in premarket trading.


McDonald's (MCD) said that sales at restaurants open at least 13 months were flat in July. The biggest fast food chain in the world is partly blaming a sluggish economy, according to the AP. Shares of McDonald's traded 3.4% lower in pre-market action.


MEMC Electronic Materials (WFR), the silicon wafer maker, reported a surprise second-quarter profit on an adjusted basis of 14 cents per share, which topped expectations for a loss of 2 cents, according to Thomson Reuters I/B/E/S. Shares rallied 35% in pre-market.
0Comments

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

STOCK SCOUTER

StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

108
108 rated 1
257
257 rated 2
439
439 rated 3
626
626 rated 4
499
499 rated 5
530
530 rated 6
713
713 rated 7
522
522 rated 8
339
339 rated 9
136
136 rated 10
12345678910

Top Picks

SYMBOLNAMERATING
UPLULTRA PETROLEUM Corp10
EOGEOG RESOURCES Inc10
SWNSOUTHWESTERN ENERGY COMPANY10
TAT&T Inc9
COPCONOCOPHILLIPS9
More

VIDEO ON MSN MONEY

ABOUT

Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.