It’s been about a month since Dish Network’s (DISH) last revenue report. Stocks rose around 16.1% during that time, outperforming the S&P 500.
Will the recent positive trend continue until its next results release, or is Dish likely to experience a pullback? Before we dive into how investors and analysts have reacted in recent times, let’s take a quick look at his latest earnings report to better understand the important catalysts.
DISH Q4 Profit and Revenue Beat Estimates
DISH Network’s fourth-quarter 2020 profit of $ 1.24 per share topped Zacks’ consensus estimate by 63.2% while increasing 79.7% year-over-year.
Revenue jumped 40.6% year-over-year to $ 4.56 billion and exceeded the consensus bar of 0.5%.
DISH exited the reported quarter with 11.290 million pay-TV subscribers, down 5.8% year-over-year. The number of DISH TV subscribers fell 6.2% year over year to 8.816 million. Sling TV subscribers fell 4.6% year-over-year to 2.474 million.
Wireless subscribers, at the end of the reported quarter, were 9.055 million compared to 9.418 at the end of the quarter a year earlier.
Pay-TV ARPU increased 8.6% year-over-year to $ 94.47. Wireless ARPU increased 0.4% year on year to $ 38.32.
Additionally, DISH-TV’s churn rate was 1.44% compared to 1.56% in the previous year’s quarter. The wireless churn rate was 4.88% versus 4.64% reported at the end of the quarter last year.
In the fourth quarter, DISH TV subscriber acquisition costs were down 0.9% year-over-year to $ 842.
Operating profit jumped 89.2% year-over-year to $ 989.6 million.
As of December 31, 2020, DISH Network had current cash, cash equivalents and marketable investment securities of $ 3.73 billion, compared to $ 2.80 billion as of September 30, 2020.
Total debt, as of December 31, 2020, was $ 15.70 billion, compared to $ 14.08 billion as of September 30, 2020.
How have the estimates evolved since then?
It turns out that revised estimates have trended upward over the past month. The consensus estimate has changed by 26.83% due to these changes.
Currently, Dish has an average Growth Score of C, but its Momentum Score is doing much better with an A. By following the exact same price, the stock received an A rating on the stock side, which places it in the top 20%. for this investment strategy.
Overall, the stock has an overall VGM score of A. If you’re not strategy-focused, this score is the one you should be interested in.
Estimates are broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Dish has a Zacks Rank # 3 (Hold). We expect the stock to come back online in the coming months.
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