Sara Lee Earnings Preview: Analysts Expect Falling Revenue, Rising EPS

Sara Lee SLE unveils its next round of earnings this Thursday, August 11, 2011. Get the latest predictions in Benzinga's essential guide to the company's fourth quarter earnings report.

Earnings and Revenue:

Analysts are predicting an EPS reading of 20 cents/share and revenues of $2.22 billion. Investors will be keen to see how this quarter's numbers compare to the year-ago quarter's positive EPS of 9 cents/share on revenues of $2.77 billion. We'll have to wait for Thursday to see if Sara Lee falls in line with analyst expectations and reports an increase in EPS and a slight decline in revenue from the year-ago quarter.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

Stock Performance:

Shares of Sara Lee were trading at $18.49 as of August 5, 2011. Shares are up 6.9% year to date. For a full 12 months, the return has risen by 38.2%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

• Long-term shareholders are already enjoying 12-month gains prior to the announcement

Average Stock Rating:

The average rating by analysts for Sara Lee is a Hold. The strength of this rating has declined slightly over the past three months.

Competitors:

Looking for a sympathy stock to trade or interested in the performance of other companies in the same sector? Take a look at some of Sara Lee's peers.

• Green Mountain Coffee Roasters GMCR: Moderate Buy with a $0.49 recent quarter EPS
• Hain Celestial Group HAIN: Moderate Buy with a $0.36 recent quarter EPS
• Flowers (FLO): Hold with a $0.33 recent quarter EPS

Sara Lee is in the food-miscellaneous/diversified industry, which has experienced price/earnings growth of 4.3%.

Finally, a description of the company's main areas of operation: Sara Lee is a global consumer-goods company, manufacturing and marketing a range of high-quality branded meats, bakery, and beverage products.

Take Action:

That's your advanced look at Sara Lee's upcoming earnings numbers -- be ready to take quick action if the company's report contains any surprises. Also, check back in with us after the announcement for a full recap and what-to-do-next guide.

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