) is a Zacks #1 Rank (Strong Buy) after making a sustained move
into profitability. Strong EPS beats and higher estimates make this
stock attractive to aggressive growth investors.
Fisher Communications, Inc., an integrated media company, through
its subsidiaries, engages in television and radio broadcasting
businesses. The company owns and operates network-affiliated
television stations in Washington, Oregon, Idaho, and and
California. In addition, Fisher engages in Internet business, radio
stations and managed radio stations in Washington and Montana. The
company owns and operates 13 full power television stations, 7 low
power television stations, and 10 owned and managed radio stations
in the Western United States. Its television stations reach 4.2
million households. Fisher Communications, Inc. was founded in 1910
and is based in Seattle, Washington.
FSCI Tops Expectations Two Straight Times
FSCI has beaten the Zacks Consensus Estimate in each of the last
two quarters. The first beat came in the September 2011 quarter saw
when the company posted earnings of $0.17, $0.07 ahead of the Zacks
Consensus Estimate of $0.10. The stock then moved higher by 4%
after that 70% beat.
FSCI Recently Reported Earnings
On March 1, 2012 the company reported revenue of $46 million
roughly $5 million more than the Zacks Consensus Estimate and lower
than the $58 million reported in the year ago period. EPS of $0.72
was $0.41 ahead of the estimate or a 132% beat. As a result the
stock moved less than 1%.
The stock didn't move much on the huge beat due to what happened in
the year ago period. For the December 2010 quarter, the company
reported earnings of $0.93, $0.58 ahead of the Zacks Consensus
Estimate for a 165% beat. The stock was up 6% following the
earnings report. The beat in the final quarter of 2011 was smaller
than the beat in the 2010 in both absolute and percentage terms.
Earnings Estimates Bumped Up
Following the most recent earnings report, analysts bumped up their
earnings estimates for 2012. The Zacks Consensus Estimate for 2012
EPS moved from $1.91 in February 2012 to the current level of
$2.22. That works out to an increase of 16%.
FSCI has some very reasonable valuation metrics. The one that
stands out is the 39x trailing earnings multiple that is well above
the 17x industry average. Forward earnings are different picture,
coming in at 14x its just below the 14.6x industry average. Price
to book and price to sales both show the company trading at a
discount to the industry average.
The chart shows that the stock has recently broke through an upper
resistance level. Having tested the $31 level two times in the last
12 months, the stock has recently pushed ahead and is poised to
make new 12 month highs. With the 200 day moving average providing
support in the high 20's, the timing is good for aggressive stock
investors to participate in what looks to be a rally for the stock.
FSCI is a Zacks #1 Rank (Strong Buy).
Brian Bolan is the Aggressive Growth Stock Strategist for
Zacks.com. He is also the Editor in charge of the
Run Investor service
FISHER COMM INC (
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