Stanford Bullish on Big Media's Future
An 85-page report from Stanford Group released this week is generally bullish on big entertainment companies. "Large-capitalization media companies will weather the storm better than most," despite a 6% decline in U.S. advertising spending this year, says the report.
Stanford asserts that cable and satellite TV will remain resilient, as will films and entertainment. As proof, the report notes that U.S. box office results changed little in 2008 compared with 2007, despite last year's weaker economy. Stanford analysts also see opportunity in video games from the conglomerates. Time Warner and CBS are among analysts' stock picks for 2009.
Among the stocks panned is anything related to radio, with "sell" recommendations on Entercom Communications, Emmis Communications, Cox Radio and Cumulus Media. While 90% of Americans listen to radio, they are listening to less of it, and advertisers are retreating, says the report. "The combination of pressured cash flow and heavy debt burdens could render the equity value of many radio stocks worthless."
Recent Around the Net In Media Articles
-
In Memorium: 'Smash' Departs Sunday May 24, 3:40 p.m.
Jason Lynch chronicles the rapid demise and death of NBC’s “Smash,” from its hot start to ... -
Fox's Roger Ailes: 'We Stand Proud And Fearless' May 24, 3:40 p.m.
Fox News chief Roger Ailes has sent a memo to his subordinates at the leading cable ... -
Turner's Wakshlag: TV Creates 'Frankenmetrics,' Needs Focus May 24, 11:24 a.m.
Turner Broadcasting System chief research officer Jack Wakshlag said the TV industry is creating complicated, useless ... -
Discovery Network Launches Video Network Aimed At Young Men May 23, 1:17 p.m.
Discovery Network is looking to snare a young, male-centric audience online with the launch of its ... -
'Inquirer' Staffers Charge Philly.com With Cannibalizing May 23, 1:17 p.m.
“It’s basically outright warfare going on,” says one source. “None of us wanted to be part of ... -
CBS Adds 'Bad Teacher' Series May 23, 11:32 a.m.
CBS' plan for five new sitcoms for the upcoming season just moved to six. The network ... -
Cable Network Name Changes Could Mean Drama for Pay-TV Operators May 22, 4:38 p.m.
Cable networks are changing their names in an effort to grab more viewers and advertising dollars. ... -
ESPN Layoffs Could Number 300-Plus May 22, 4:38 p.m.
ESPN is axing a single-digit percentage of its global workforce, a move that could pink-slip 300-plus ... -
CBS Nets Tony Awards Through 2018 May 22, 11:51 a.m.
CBS has reached a new broadcast agreement with the Broadway League and the American Theatre Wing ... -
TV Networks Concerned Over Nontraditional Competition May 21, 5:09 p.m.
The day has come when TV networks not only have to compete with fellow networks with ...
Be the first to comment on "Stanford Bullish on Big Media's Future "
Leave a Comment