Media companies were among the big losers in the S&P 500 Thursday, with Disney, CBS, Viacom Inc. and Time Warner Inc. all down more than 3.5 per cent after Sanford C. Bernstein analyst Todd Juenger downgraded the sector, saying subscriber fees and advertising sales are at risk as the pay-TV industry loses viewers.
Advertisement
“Given the new math applied to Disney’s TV assets, we no longer see enough upside to have conviction the stock will outperform the market over the next 12 months”, Juenger wrote in a Thursday research report.
Disney ended the day down 1% in addition to the 6% it fell yesterday, while Time Warner added 1.6% to its previous 5% loss. Walt Disney sank to a 6 1/2 month low and fell below its 200-day moving average. The shares were sold at an average price of $109.46, for a total transaction of $324,548.90.
Shares of Disney, which owns ESPN, fell Thursday as an analyst downgraded the stock. The firm has a market cap of $168.48 billion and a PE ratio of 20.79.
Separately, TheStreet Ratings team rates DISNEY (WALT) CO as a Buy with a ratings score of A+.
Walt Disney (NYSE:DIS) traded down -0.96% on 21 August, hitting $99.06.
The company also recently announced a semiannual dividend, which was issued on Wednesday, July 29th. Rosenblatt Securities set a $130.00 price objective on Walt Disney and gave the company a buy rating in a research note on Tuesday, June 23rd. The ex-dividend date was Wednesday, July 1st. A year earlier, the company distributed $0.66 per share, or a difference of 14.6667%. Walt Disney has a consensus rating of Buy and an average target price of $113.69. Lindsell Train Ltd is another bullish investment professional who is having 1.44M shares of Walt Disney or 12.32% of their US long stock exposure.
Advertisement
The Walt Disney Company together with affiliates and its subsidiaries is a diversified worldwide family entertainment and media enterprise with five business segments: media networks, parks and resorts, studio entertainment, consumer products and interactive media. Walt Disney Parks and Resorts (WDP&R) is a provider of family travel and leisure experiences. The Walt Disney Studio brings music, pictures and stage plays to consumers across the whole world.
