Earnings Preview: McAfee

Apr.29.09 | About: McAfee Inc. (MFE)

McAfee (MFE) is expected to report Q1 earnings after the market close on Thursday, April 30, with a conference call scheduled for 4:30 pm ET.


The consensus estimate is 48c for EPS and $448.48M for revenue, according to First Call. On the last earnings call management provided better guidance for Q1 of 46c to 50c for EPS, and revenue between $440M and $460M. In addition, McAfee CEO Dave DeWalt said that the company's revenue will increase in 2009.

Analyst Views

RBC Capital says McAfee's Q1 is tracking above Street revenue estimates due to strength in the enterprise segment. Friedman Billings believes McAfee will post another good quarter on the all-important consumer segment. The firm sees McAfee at least meeting the Street’s and their estimates of $449.4M and 48c. FBR expects McAfee to meet their Q1 consumer revenue estimate of $162.4M, a positive dynamic that FBR says should further alleviate investor concerns on the name/consumer security segment. FBR believes McAfee is well positioned in the consumer segment, as the company continues to successfully focus its efforts on its direct online relationships and OEM alliances. Looking forward: FBR does not expect Street estimates for Q2 of $466.3M and 54c, or FY09 estimates of $1.89B and $2.23, to change materially following the Q1 earnings report.