Analyst Boosts Disney Ratings; Downgrades Viacom Stock – Broadcasting & Cable (blog)

Analyst Marci Ryvicker of Wells Fargo upgraded her opinion of Walt Disney Co. stock while downgrading Viacom.

In a research note Tuesday, Ryvicker noted that Disney has announced plans to push into direct-to-consumer streaming at a time when over-the-top is becoming an increasingly important part of the media ecosystem.

She urged investors to increase their holding in media companies that seem to have “solid streaming strategies,” such as Disney, CBS and 21st Century Fox.

Ryvicker noted that Disney stock has been down because of revenue issues at its TV properties and earnings dilution because of its planned acquisition of BAMTech.

“Should the company’s streaming strategy succeed, we don’t see why the stock wouldn’t return to at least a market multiple,” she said, setting a target price of $116 for Disney stock, up from $109.

Meanwhile, Ryvicker noted that even though MTV’s ratings have improved, that doesn’t seem to be a catalyst for improving Viacom’s distribution and advertising revenue.

“With no visibility into the non-sports streaming bundles, the Charter carriage renewal, Paramount’s slate financing, or long-term affiliate fee growth, it’s tough to support the stock even at these levels, thus, our downgrade to Market Perform,” she said.

Disney Streaming Might Not Cost Netflix Subs, Analysts Say

Filed in: Analyst Coverage Tags: 

You might like:

Airport scanner maker's stock tumbles after analyst trashes it – New York Post Airport scanner maker's stock tumbles after analyst trashes it – New York Post
What's Next for Nike's Stock? – TheStreet.com What's Next for Nike's Stock? – TheStreet.com
Citigroup Stock Could Tank Another 11%, Analyst Says – TheStreet.com Citigroup Stock Could Tank Another 11%, Analyst Says – TheStreet.com
This RSS feed URL is deprecated This RSS feed URL is deprecated
Tenkan Sen Bearish Chart Revealed For Future Fintech Group Inc (FTFT) – Rockville Register Tenkan Sen Bearish Chart Revealed For Future Fintech Group Inc (FTFT) – Rockville Register
Do Analysts See Any Upside to Omeros Corporation (NASDAQ:OMER) Shares? – Rockville Register Do Analysts See Any Upside to Omeros Corporation (NASDAQ:OMER) Shares? – Rockville Register
Ferrari Just Got Run Over by Wall Street – TheStreet – TheStreet.com Ferrari Just Got Run Over by Wall Street – TheStreet – TheStreet.com
Ferrari Just Got Run Over by Wall Street – TheStreet.com Ferrari Just Got Run Over by Wall Street – TheStreet.com

Leave a Reply

Submit Comment
© 2018 Stock Investors News. All rights reserved. XHTML / CSS Valid.