Needham & Company Maintains a 'Hold' on Discovery (DISCA); Most Defensive Media Stock?
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Price: $24.43 --0%
Rating Summary:
12 Buy, 21 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
12 Buy, 21 Hold, 1 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Needham & Company maintains a 'Hold' on Discovery Communications (NASDAQ: DISCA).
Needham analyst says, "The debt crisis in Europe and brinkmanship over the debt ceiling in Washington DC, coupled with S&P’s US-debt downgrade, are generating volatility in markets and raising the risk of an economic slowdown and a downwardlysloping equity market. Which U.S. media stocks perform best in downward-trending markets? DISCA appears to be one of the most defensive media stocks to own owing to an unlevered beta of 0.8. In addition, DISCA has outperformed the S&P 500 during the period of market disruption following the Lehman Brothers Bankruptcy. Although we maintain our HOLD rating on DISCA for now, we are keeping a close eye on the unfolding health of the global economy."
"We are raising our FY 2011 revenue estimates by 0.7% to $4.11B and maintaining our EPS estimate of $2.35 to reflect 2Q11 results and management comments from their earnings call...In this report, we introduce our estimates for 2012. We estimate 2012 revenue of $4.429B, up 7.8% y/y, and EPS of $2.79, up 19% y/y."
For more ratings news on Discovery Communications click here and for the rating history of Discovery Communications click here.
Shares of Discovery Communications closed at $36.28 yesterday.
Needham analyst says, "The debt crisis in Europe and brinkmanship over the debt ceiling in Washington DC, coupled with S&P’s US-debt downgrade, are generating volatility in markets and raising the risk of an economic slowdown and a downwardlysloping equity market. Which U.S. media stocks perform best in downward-trending markets? DISCA appears to be one of the most defensive media stocks to own owing to an unlevered beta of 0.8. In addition, DISCA has outperformed the S&P 500 during the period of market disruption following the Lehman Brothers Bankruptcy. Although we maintain our HOLD rating on DISCA for now, we are keeping a close eye on the unfolding health of the global economy."
"We are raising our FY 2011 revenue estimates by 0.7% to $4.11B and maintaining our EPS estimate of $2.35 to reflect 2Q11 results and management comments from their earnings call...In this report, we introduce our estimates for 2012. We estimate 2012 revenue of $4.429B, up 7.8% y/y, and EPS of $2.79, up 19% y/y."
For more ratings news on Discovery Communications click here and for the rating history of Discovery Communications click here.
Shares of Discovery Communications closed at $36.28 yesterday.
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