Six Must-Follow Earnings for Aug. 7

NEW YORK (TheStreet) -- Many companies plan to report earnings Tuesday, but the following six stand out.

Sirius XM Radio ( SIRI) is a stock I follow closely and have written many articles about. I also track the gaming industry in general, and MGM Resorts ( MGM) is a main focus.

DIS Revenue Growth Chart DIS Revenue Growth data by YCharts

Walt Disney ( DIS)

Who They Are: This well-known entertainment company was founded in 1923. Its stock trades an average of 10.1 million shares per day, and the company has a market cap of $87.8 billion.

52-Week Low: $28.19

52-Week High: $50.54

Book Value: $20.93

Price-to-Book Ratio: 2.24

Strong third-quarter earnings growth is expected by Wall Street after the market closes on Tuesday, Aug. 7. The consensus is for earnings of 93 cents a share, a gain of 15 cents (16.1%) from 78 cents during the corresponding quarter last year.

Seventeen of the 25 analysts covering the company give the mouse a buy recommendation.

The chart looks fantastic with all the major moving averages in a textbook bull trend. A big miss would spell an ugly drop, but this mouse has proven time and time again he knows how to get the cheese.

The trailing 12-month price-to-earnings ratio is 17.9, the mean fiscal-year estimate price-to-earnings ratio is 16.5, based on estimated EPS of $3.02 this year. Shareholders receive 60 cents annually in dividend payments. The yield based on the stock's recent price is 1.2%.

Over the last five years, the dividend has grown an average of 8.2% per year.

Shares have been slowly but steadily climbing in the last 30 days. Shares are now 2.2% higher than last month.

Disney last reported earnings on May 8, 2012, and the closing price that day was $44.30. Shares are up about 10% since then.

In the 2011 fiscal year (which ended Oct. 1, 2011), Disney reported earnings of $4.81 billion, up from $3.96 in the previous fiscal year. Revenue in the 2011 fiscal year was $40.89 billion, up from $38.06 billion in fiscal-year 2010.

Currently, shorts as a percentage of float are 2.9%, according to Yahoo! Finance. That's small and not a big concern.

. CVS Revenue Growth Chart CVS Revenue Growth data by YCharts

CVS Caremark Corporation ( CVS)

Who They Are: This drugstore and prescription-services company was founded in 1892. Its stock has an average daily trading volume of 10.7 million shares per day, and its market cap is $58 billion.

52-Week Low: $31.30

52-Week High: $48.69

Book Value: $29.50

Price-to-Book: 1.56

On average, analysts expect second-quarter earnings of 79 cents a share, up 14 cents, or 18%, from 65 cents a year earlier. The company plans to report earnings before the market opens on Tuesday, Aug. 7.

Thirteen out of 18 analysts now rate Caremark a strong buy, up from 12 analysts one month ago. The company has three holds, and no analysts rate it a sell.

The trailing 12-month price-to-earnings ratio is 15.7, and the mean fiscal-year estimate price-to-earnings ratio is 13.8, based on estimated EPS of $3.29.

Investors are receiving 65 cents in dividends for a yield of 1.43%. Over the last five years, the dividend has grown by an average of 26% per year.

CVS Caremark last reported earnings on May 2. Its shares closed at $45.92 that day. It was recently trading at $44.84, down about 2% from that $45.92 level.

In 2011, CVS Caremark reported $107.10 billion in revenue, up from $95.78 billion in 2010. Earnings were $3.46 billion, up from $3.43 billion in 2010.

There is almost zero interest in shorting CVS Caremark. The short percentage of float barely moves the needle at 1.1%, according to Yahoo! Finance.

CVS Caremark's shares broke below the 60- and 90-day moving averages, which should put investors on notice that this could be a tough earnings release. My indicator is calculating a beat of two or three cents, but the chart doesn't give me confidence.

MGM Revenue Growth Chart MGM Revenue Growth data by YCharts

MGM Resorts International ( MGM)

Who They Are: MGM Resorts International owns and operates casino resorts. Its shares trade an average of 11.6 million shares per day, and the company has a market cap of $4.7 billion.

52-Week Low: $7.40

52-Week High: $15.25

Book Value: $12.02

MGM Resorts is expected to log a second-quarter loss when it reports results before the bell on Tuesday, Aug. 7. The consensus estimate is currently for a loss of about 14 cents a share.

Fifteen of the 21 analysts covering MGM rate the stock a buy or strong buy. Six analysts rate it a hold, and none give it a sell rating. It's pretty clear these analysts are asleep at the wheel.

In the last month, the stock has really taken a turn for the worse. Shares have crumbled 14.2% in the last month of trading. Shares are in a clear bear trend.

MGM last announced earnings on May 3, 2012, and the previous closing price was $12.92. They were recently trading at $9.52, down 26% from that May 3 close.

The short percentage of float is 6.1% according to Yahoo! Finance. Looks like the short-sellers missed a good one.

Online gambling appears to be gaining traction and more a matter of when than if. MGM should be a big "winner" as MGM is uniquely to positioned to capture a strong share of the online market. I am going to wait for another month or two before positioning for online gambling if legislation moves forward. Never underestimate the willingness of legislators to control our lives, so it's anything but a sure thing.

SIRI Revenue Chart SIRI Revenue data by YCharts

Sirius XM Radio ( SIRI)

Who They Are: Sirius XM Radio is a satellite radio company. Its stock has average daily trading volume of 41.3 million, and the company has a market cap of $8.3 billion.

52-Week Range: $1.27 to 2.41

Book Value: 22 cents

SIRI is expected to record lower second quarter-earnings before the market opens on Thursday, Aug. 7. The consensus EPS estimate is currently 2 cents a share, a drop of 1 cent (33.3%) from 3 cents during the equivalent quarter last year.

More than half the analysts covering SIRI rate it as a buy or strong buy. Six of the 10 analysts covering the company give a buy recommendation. Four analysts rate it a hold, and none of the analysts recommend selling.

Sirius XM last reported earnings on May 1, and the stock closed at $2.23 that day. Shares recently traded at $2.15.

The company reported revenue of $3.01 billion in 2011, up from $2.82 billion in 2010. The bottom line has rising earnings year-over-year of $427.0 million in 2011, up from $43.1 million in 2010. The company's earnings before interest and taxes are rising with an EBIT of $676.1 million for 2011 vs. $465.4 million for 2010.

The current short percentage of float is 8.9%.

Vivus ( VVUS)

Who They Are: This biotech company was founded in 1991 and is headquartered in Mountain View, Calif. Vivus shares have an average daily trading volume of 14.3 million, and the company has a market cap of $2.1 billion.

52-Week Range: $6.13 to 31.21

Book Value: $3.27

Price-to-Book: 6.7

VVUS is expected to report a loss for the second quarter after the market closes on Thursday, Aug. 7. The consensus estimate is currently for a loss of 24 cents a share, 4 cents worse than the previous loss of 20 cents during the same period last year.

Earnings are good for reading the reported perils and cash burn. The FDA has a bigger impact for stocks like VVUS than 10-Qs do, however.

VVUS has five buy recommendations out of 11 analysts, six holds, and no sell recommendations.

The short interest is anything but short. The number of shares shorted are markedly elevated and should be treated as a warning that shorts anticipate price weakness. The current percentage of float that is short is 15.3%.

VVUS Revenue Growth Chart VVUS Revenue Growth data by YCharts

NII ( NIHD)

Who They Are: NII provides wireless telecommunications in Latin America under the Nextel brand. Its shares have a daily average trading volume of 5.2 million, and the company's market cap is $1.2 billion.

52-Week Range: $6.56 to 42.55

The earnings release is planned before the market opens on Thursday, Aug. 7. The consensus estimate is currently for EPS of 12 cents a share, down 54 cents from 66 cents during the matching period in the previous year.

The shares are have fallen dramatically over the last year. Revenue reported was $6.72 billion in 2011, vs. $5.60 billion in 2010. The increasing revenue is where the good news ends.

The short interest is high and should be treated as a warning sign. The current percentage of the float that is short is 19.8%.

At the time of publication, the author held no positions in stocks mentioned.

This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

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