Barclays Upgrades AMC Networks (AMCX) to Equalweight; Current Valuation More Reasonable for Cable Pure-Play
Get Alerts AMCX Hot Sheet
Price: $11.57 +5.66%
Rating Summary:
11 Buy, 13 Hold, 7 Sell
Rating Trend: Up
Today's Overall Ratings:
Up: 16 | Down: 11 | New: 13
Rating Summary:
11 Buy, 13 Hold, 7 Sell
Rating Trend: Up
Today's Overall Ratings:
Up: 16 | Down: 11 | New: 13
Join SI Premium – FREE
Barclays upgraded AMC Networks (NASDAQ: AMCX) from Underweight to Equalweight with a price target of $32.00.
Barclays analyst says, "Since the stock began regular way trading on July 1st, AMCX shares have fallen 20% as of yesterday's close, as compared to the S&P which declined by 8% in that time period. However, with shares now trading at 10.3x 2012 P/FCF, we believe the stock's current valuation is more reasonable for a cable pure-play."
"But lack of content ownership remains a concern: As outlined in our initiation report, AMCX does not own most of its content, which has led to drawn out licensing negotiations for both Mad Men and Breaking Bad. While AMC was able to secure new seasons for both programs, we expect the network will have to shoulder higher costs going forward to compensate the studios for the past and expected future success of their original programming."
For more ratings news on AMC Networks click here and for the rating history of AMC Networks click here.
Shares of AMC Networks closed at $34.82 yesterday.
Barclays analyst says, "Since the stock began regular way trading on July 1st, AMCX shares have fallen 20% as of yesterday's close, as compared to the S&P which declined by 8% in that time period. However, with shares now trading at 10.3x 2012 P/FCF, we believe the stock's current valuation is more reasonable for a cable pure-play."
"But lack of content ownership remains a concern: As outlined in our initiation report, AMCX does not own most of its content, which has led to drawn out licensing negotiations for both Mad Men and Breaking Bad. While AMC was able to secure new seasons for both programs, we expect the network will have to shoulder higher costs going forward to compensate the studios for the past and expected future success of their original programming."
For more ratings news on AMC Networks click here and for the rating history of AMC Networks click here.
Shares of AMC Networks closed at $34.82 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Stifel Upgrades Adidas AG (ADS:GR) (ADDYY) to Buy
- B.Riley Upgrades The Children's Place (PLCE) to Neutral
- UBS Upgrades Swiss Prime Site AG (SPSN:SW) (SWPRF) to Buy
Create E-mail Alert Related Categories
UpgradesRelated Entities
BarclaysSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!