If you heed this analyst’s warnings, you might be one for the Wieser.
Pivotal Research Group Senior Research Analyst/Advertising Brian Wieser on Thursday (1/12) went sour on no less than three media companies, while maintaining a hold on a television industry player that has put its faith in Bob Bakish.
First up in Wieser’s wheel of downgrades: The Walt Disney Co.
Even though the company’s studio division is “spectacularly well,” DIS shares were downgraded by Wieser from “hold” to “sell.”
Among the key concerns for Wieser are “soft TV audience trends, ongoing erosion of ESPN’s subscriber base and mixed reports on Shanghai Disneyland from Asian press,” he said in a report distributed to business journalists and investors.
A Hawkish Wieser also expressed concerns regarding the successor to Disney CEO Bob Iger, who intends to step down in 2018.
Wieser’s new price target for Disney shares is $86, down from $102.
Disney shares finished the Jan. 12 trading session at $107.53, down 1.75% — a result of Wieser’s report.
Meanwhile, Wieser cut the ratings for Discovery Communications to “hold” from “buy,” and did the exact same thing for CBS Corp., Investors Business Daily reports.
At the same time, Wieser maintained his “hold” rating on Viacom.
At $42.25 at the Closing Bell on Wall Street Jan. 12, Viacom shares have been on a rollercoaster ride. From fall 2013 through spring 2014, they were at their 10-year peak. Today, VIA stock is at levels not seen since 2010.