On Monday telecommunications company Time Warner Cable Inc (TWC) missed analysts third quarter estimates despite increases in earnings and revenue.
The New York, New York based company reported a rise in third quarter net income to $808 million, or $2.60 per share. In the third quarter of 2011 the company earned $356 million, or $1.08 per share. Adjusting for excluded items Time Warner Cable earned $1.34 per share. This missed estimates as Wall Street analysts, according to Thomson Reuters, expected TWC to have an adjusted EPS of $1.43.
Revenue for the cable company rose 9% to $5.36 billion missing the Wall Street estimate of $5.39 billion.
Time Warner Cable has been struggling, like many cable companies, to add cable subscribers due to increased competition while consumers have cut back on their discretionary spending.
Time Warner Cable shares were flat in premarket trading on Monday.
The Bottom Line
Shares of Time Warner Cable (TWC) have a 2.28% dividend yield, based on Friday’s closing stock price of $98.17. The stock has technical support in the $90 price area. The shares are trading right near all-time highs.
Time Warner Cable Inc (TWC) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.