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Analyze This:
Tritaurian Capital wants to acquire the
NY Mets via $999/share from Mets fans, so says the
NY Post. ---
Borders filed for bankruptcy and says it will close 200 stores. ---
Bernstein Research’s
Craig Moffett, noting
Cablevision sub losses of 35K basics “were the worst since the launch of FiOS” and “more ominously, broadband hit a wall, adding only 6K, down sharply versus last year and well below the 26K consensus ... voice additions, too were very light at 9K, well below the 18K Street Account consensus.” Keeping the rating at ‘marketperform’ even while noting better
Rainbow results, Moffett still concluded, “We continue to see Cablevision as a very good asset, but one that is now approximately fully valued.” Retrans, Cablevision noted, didn’t help much. Remote DVR should be a value add going forward, though. --- And, then there’s
Comcast where 135K cut the cord. Net income was up 6.6% to $1.02B on sales of $9.72B, up 7.2%. Moffett’s take: “Comcast is still cheaper than its peers, and the operating results are a not-so-gentle reminder that its core business (which can be boiled down at its essence to owning the pipe') is an awfully good one that remains undervalued. And with a just-completed
NBCU acquisition now behind the company, the opportunity for further mischief is essentially nil. Still, for Comcast to fully catch up to its cash-returning peers (the three horsemen
TWC,
DTV, and CVC), it will have to return all the cash.” ---
Collins Stewart’s
Tom Eagan cheered the acceleration of its share repurchases and dividend noting “With CMCSA trading at the lowest Cable 2011 OCF multiple, (5.6x vs 6.4x for TWC and CVC), it remains one of our favorite distribution names.” ---
Playboy reported a Q4 loss of 43¢/share amid declining revenue in all but its licensing sector. ---
Rogers reported Q4 consolidated revenue up 3% to C$3.2B with net profit up 5% to 64C¢/share. Wireless net adds were 123K while cable ops profit jumped 16% driving margins to 46%+. The company upped the dividend by 11% while authorizing a stock repurchase of C$1.5B. ---
Citadel's
Shing Yin has an 'add' on Sprint noting its "at-risk of churn" subs are way down this year. ---
CBS reported Q4 revenues up 11% to $3.4B; adjusted Q4 EPS up 77% to 46¢. Full year results were up 8% to $14.06B; EPS of $1.11/share were up y/y from 55¢.
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Rules & Regs: Before today’s hearings,
Rep. Greg Walden (D-OR) filed an amendment to the continuing resolution to bar the
FCC from using any funds to carry out the net neutrality rules. --- Some of the written statements filed before today’s hearings at the
House Subcte on Communications (Walden is chair) from the 5 FCC commissioners included:
Chair Julius Genachowski wrote, “Some people say that our open Internet framework doesn’t go far enough. Some people say it goes too far. I believe we did the right thing ... “
Cmr. Meredith Atwell Baker wrote, “ ... I believe that Net Neutrality was both the wrong policy and the wrong priority. This action also exceeded our statutory authority—establishing a national policy is
Congress’s role, not the FCC’s role.”
Cmr. Mignon Clyburn wrote, “ ... I do not think we acted recklessly, nor do I believe that we have harmed the Internet. What we did was put a policy in place that will ensure and enable users to access lawful websites, applications, and services, so that they, not their Internet Service Providers, can choose which companies, products, services and ideas will succeed.”
Cmr. Michael Copps touched on spectrum and 1st responders issues before writing, “This is not about government regulating the Internet. It is about ensuring that consumers, rather than Big Telephone or Big Cable, have maximum control of their experiences when they go online.” And,
Cmr. Robert McDowell wrote, “A little secret about the FCC: More than 90 percent of our votes are not only bipartisan, but unanimous. ... Obviously, we have had a few respectful disagreements as well, such as our differences concerning the new regulations of Internet network management. For your convenience, I have attached a copy of my dissent as Exhibit A.” Lots of criticism aimed at FCC's actions ... but
Rep. Ed Markey (D-MA) said, "I wish the FCC had gone further." Lots of noise, veiled threats and counter-threats. After the hearings,
Sen. Kay Bailey Hutchinson (R-TX) and Sen. John Ensign (R-NV), joined by
Senate Majority Leader Mitch McConnell (R-KY) and 36 others, introduced a a resolution of disapproval under the Congressional Review Act (CRA) to repeal the net neutrality regs; a companion resolution was introduced in the House by Walden and
Rep. Fred Upton (R-MI). ---
ACA likes
NARUC’s resolution calling on the FCC to use the Section 706 Joint Conference to examine the impact on broadband deployment by smaller ops in rural areas. --- Meanwhile, the
Senate Cte on Commerce, Science and Transportation held a hearing on 1st responser networks ... everyone agreed that might be important.
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Up in the Sky: A very possible and interesting answer to that perennial question (Just what does
Charlie think he’s doing?) is presented by
BTIG’s
Walter Piecyk here (registration required).
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Tech:
Cablevision is licensing
Rovi's IPG in a multi-year deal.
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Online:
comScore says
Vevo is twice as big (in visits) as
Hulu ... but Hulu leads in ads. --- It’s
Google v.
Apple again ... this time over publisher sub deals for tablets and more. --- Egypt pretty much turned off the internet in-country; so, what’s that mean? ---
Disney is rumored to have raised its DVD wholesale prices for
Netflix and
Redbox.
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Advertising/Marketing: Targeted TV ad company
Simulmedia cut a deal with
MAGNAGLOBAL and
Brian Weiser will be come Chief Marketing Officer.
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Programming: Round 2 update:
Watson @ $35,734,
Rutter @ $10K and
Jennings @ $4.8K. (Rumors had
Hal behind the curtain.)
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Mobile:
AT&T apparently did a better job of getting ready for the
Verizon iPhone than many thought; sales haven’t been on target (yet).•
