Earnings Preview: Safeway Reports Q3 Results Thursday

| About: Safeway Inc. (SWY)

Safeway Inc. (NYSE:SWY) is due to report earnings before the opening bell on October 13, 2011.


SWY trades an average of 5.9 million shares per day.

Safeway Inc., together with its subsidiaries, operates as a food and drug retailer in North America. The company was founded in 1915 and is based in Pleasanton, California. You may read my other articles on Safeway by clicking here.

52 Week High: $25.43
52 Week Low: $15.93
Book Value: $13.36
Float Short: 8.53%

On average, 14 analysts are expecting a drop of $-0.06 in earnings per share compared to last quarter's results of $0.41. The reporting quarter's estimated mean earnings are $0.35 per share. Analyst estimates range between $0.29 and $0.4 per share.

The P/E ratio has come down, as the current trailing twelve months (ttm) P/E ratio is 12.4, while the forward P/E ratio is now 10.3. An upside earnings report may put a lot of wind in the sails. Looking at the price movement over the last month, the stock has fallen in price -1.46%, with a one year change of -17.08%. Compared to the S&P 500, the year to date difference is -17.78%.

The company has rising revenue year-over-year of $41.05 billion for 2010 vs. $40.85 billion for 2009. The bottom line has rising earnings year-over-year of $589.80 million for 2010 vs. $-1.10 billion for 2009. The company's earnings before income and taxes are rising with an EBIT year-over-year of $1.16 billion for 2010 vs. $-628.70 million for 2009.

Gross reported revenue compared to the mean estimate (rounded).

Fiscal Quarter Ending Month-Year Revenue Estimates Actual $ Difference Difference %
Jun-11 $ 9.92 B $ 10.20 B $ 278.32 M 2.81%
Mar-11 $ 9.45 B $ 9.77 B $ 320.48 M 3.39%
Dec-10 $ 12.71 B $ 12.80 B $ 93.60 M 0.74%
Sep-10 $ 9.45 B $ 9.40 B $ -47.64 M -0.5%
Jun-10 $ 9.44 B $ 9.52 B $ 77.25 M 0.82%
M = millions, B = billions

Differences are rounded. (Some one-time items are often excluded in reported EPS.)

Reported earnings per share compared to the mean estimate. Differences are rounded.

I use a proprietary blend of technical analysis, financial crowd behavior and fundamentals in my short-term trades, and while not totally the same in longer swing trades to investments, the concepts used are similar. You may want to use this article as a starting point of your own research with your financial planner. I use Seeking Alpha, Edgar Online and Yahoo Finance for most of my data. I use the "confirmed" symbols from earnings.com that I believe to be of the most interest.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.