Dish stock is up
The stock of US satellite TV provider Dish Network (DISH) recovered and closed at $29.79, a rise of 3.2%, on February 14. The stock fell more than 8% in after-hours trading on February 13 after the company reported disappointing fourth-quarter earnings results.
Dish has risen 18.9% year-to-date as of February 14. Other pay-TV rivals AT&T (T), Comcast (CMCSA), and Charter Communications (CHTR) have risen 6.13%, 9.43%, and 19.87%, respectively, in the same period.
Dish’s fourth-quarter results
While the company reported lower-than-expected earnings results, its revenue beat Wall Street’s estimate in the fourth quarter. The company also saw a sharp fall in its number of satellite service subscribers, which added to its earnings weakness. Its ongoing carriage disputes with AT&T’s HBO and Univision also weighed on its stock. Nevertheless, the company is on track to build an Internet of Things wireless network.
Dish Network posted revenue of $3.31 billion in the fourth quarter, beating analysts’ expectation of $3.28 billion. However, its revenue fell 4.9% year-over-year. The company delivered EPS of $0.64 in the fourth quarter but lagged analysts’ expectation of $0.67. During the fourth quarter of 2017, Dish Network earned net income of $1.39 billion, or $2.64 per share, which included a one-time income tax gain of $1.2 billion associated with a tax provision resulting from the revision in US (SPY) federal tax legislation.