Most News Corp. (NASDAQ:NWS) Segments' EPS Lowered

News Corp. (NASDAQ:NWS) had five of its six operating divisions' EPS estimates lowered by Needham, which still maintained their "Buy" rating on the media giant.

Needham says, "(For Q2) We are maintaining our revenue estimate of $8.625B, (down 1% y/y) but we are lowering our EBIT outlook by 11% to $1.212B, flat y/y. We are lowering our expectations in 5 of NWSA’s 6 operating divisions. In Filmed Entertainment, we are lowering our expectations for Segment EBIT by 26% to $177M to reflect the lack of big hits at the box office to start this fiscal year, resulting in lower than expected sales in DVD for the quarter. In Television, we are lowering our estimates for Segment EBIT by 9% to $137M to reflect lower than expected ratings, resulting in lower than expected scatter pricing. In Cable Networks, we are lowering our estimates for Segment EBIT by 3% to $689M to reflect a solid ad market, but less growth than expected. In Publishing, we are lowering our estimates for Segment EBIT 10% to $370M to reflect ad sales below our expectations. In Other, we are lowering our estimates for a loss to $150M, from a loss of $130M, to reflect continued spending and a slower pace in monetizing results in this segment.

"We are maintaining our revenue estimates for 2H2011, but we are lowering our EPS to $1.11, from $1.16, to reflect the changes in 2Q11E discussed above."

News Corp. closed Tuesday at $17.30, down $0.07, or 0.40 percent.