Earnings Preview: Sara Lee Corp.

Sara Lee has already been focusing more heavily on its lower-priced items popular with cash-conscious consumers who are eating at home more often during the recession, such as Ball Park franks and other inexpensive meats that produce strong results for the company.

The shift is expected to take some time, and the company in August announced weak expectations for its 2010 fiscal year.

BY THE NUMBERS: Analysts surveyed by Thomson Reuters expect the company to earn 18 cents per share on revenue of $3.16 billion for the quarter.

ANALYST TAKE: Deutsche Bank analyst Eric Katzman retained a "Hold" rating on Sara Lee shares, saying he sees a strong stock value and solid balance sheet. However, he is unsure how the company will fully use the proceeds from the sale of its personal care business and it continues to face serious challenges from competition and the continued toll the economy is taking on consumers.

WHAT'S AHEAD: The company may still be shopping for a buyer for its household products unit.

STOCK PERFORMANCE: Sara Lee's shares rose more than 18 percent during the quarter but only 1 percent during the past 52 weeks.