CBS reported better than expected results for 2Q16, beating consensus estimates on both revenue and EPS. The upside came from the sales of owned content, especially the Star Trek to Netflix. Advertising growth at the CBS TV Network grew 2%, slightly below expectations for 3% growth. Wall Street is focusing on the advertising shortfall and […]
Google (GOOG/GOOGL) reported better than expected 2Q16 results. Revenues grew 2% on a currency neutral basis, the best in four years, and several hundred basis points ahead of Wall Street expectations. EPS also surprised to the upside at $8.42 against expectations for $8.09 as tighter cost controls continue to be evident since the arrival of […]
Facebook (FB) reported another strong quarter with EPS reaching 97 cents against estimates of 81 cents. Revenue surprised to the upside by over $400mm, driving operating leverage as margins expanded by more almost 500 basis points. User metrics were a little better than expected with daily and monthly active users still growing. Given that 1.7 […]
It seems like everywhere you turn there is talk about cord cutting and cable losing subscribers. Well, guess what? For now at least, the narrative is false, especially at Comcast. Comcast lost just 4,000 video subs in the seasonally weak second quarter against expectations for a loss of 31,000. This was the best second quarter […]
Apple (AAPL) reported mostly inline results for its 3Q16 report. Slight upside existed across most key financial and unit volume metrics. Guidance for the current quarter ending 9/30/16 was similar. Given recent sentiment surrounding AAPL, this was good enough to allow the shares to rebound in their initial response to the report, up 7-8%. AAPL […]
Northlake is taking partial profits in Activision Blizzard (ATVI) after the shares have doubled since the initial purchase in November 2014. The outstanding performance of ATVI against minimal change in the broader market led to position sizes up to 2X what Northlake usually targets. Northlake still likes ATVI and sees upside to the upper $40s […]
CBS reported a good quarter beating consensus EPS estimates comfortably with small upside in revenues. The implication is good performance on profit margins and that was indeed the case especially in the core entertainment assets (CBS Network and content production) and the local TV stations. Advertising drove the upside, with a gain of 31% exceeding […]
Disney (DIS) reported a rare miss on sales and earnings in the fiscal second quarter of 2016. The disappointing results were driven by weakness in the consumer products and media networks segments. The studio segment continued to produce excellent results, driven by Zootopia in the quarter. Parks and resorts also performed well in the quarter, […]
Liberty Global (LBTYK) reported slightly disappointing 1Q16 earnings. However, the 2016 was maintained and the long-term story is intact. Management made a strong case that any shortfalls were not unexpected based on internal budgeting and investors and analysts seemed to buy it as the shares finished positive after starting lower in response to the headlines. […]
Liberty Media reported results following its split into three tracking stocks. Northlake sold the shares that track ownership of the Atlanta Braves, the team’s new stadium, and the real estate development adjacent to the stadium. We continue to hold shares in Liberty Sirius (LSXMA/LSXMK) and Liberty Media (LMCA/LMCK). We read nothing in the quarterly reports […]
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