Discovery back in merger talks with Scripps

Discovery, Scripps Shares Rise Following Report on Merger Talks

Discovery in talks to buy Scripps in cable mega-deal: report Add to ...

With cord-cutting amid competition from Netflix, Amazon and others, Wall Street has been predicting consolidation among cable-channel companies and Discovery and Scripps, in fact, discussed merging a few years back but couldn't come to an agreement.

US-based Scripps owns TV brands including HGTV, Food Channel, Travel Channel, DIY Network, Cooking Channel, as well as Poland's TVN.

According to Zacks, "Shares of Scripps Networks have underperformed the Zacks-categorized Broadcasting-Radio TV industry over the past one year". The company trades on average around 148000 shares per market session. Analysts giving shares a rating of 1 or 2 would be indicating a Buy. Discovery Communications is up 9.8 percent at $28.61 and Scripps Networks is up 13.4 percent at $76.02 in after market trading. By watching how many shares are trading hands and looking for any changes in that activity, trading opportunities can be spotted along with a deeper understanding of the reliability of other indicators on the stock. While Discovery is significantly invested in its global cable channels in addition to domestic operations, Scripps has remained focused on its US channels.

The merger of Discovery and Scripps has been a popular combination, given both companies' focus on unscripted content and Discovery's ability to help Scripps expand internationally. He said that outside of the US, there are several true, cheaper, skinny bundles - and Discovery is part of them.

All three of these companies lack sports programming, which is a must-have for media companies nowadays. Reuters reported on Viacom's involvement. Viacom declined to comment. Insiders have sold a total of 376,466 shares of company stock valued at $25,477,051 in the last three months. Over the past month the firm's stock is -0.89%, -9.44% for the last quarter, -8.27% for the past six-months and -3.67% for the previous year.

With more than 20 years of buy-side/sell-side analyst and portfolio manager experience specializing in media, entertainment and Internet investments, Slabin is to focus on Discovery's strategic positioning and build relations with the worldwide investor community.

Cable networks have been losing subscribers as viewers pay more attention to their smartphone apps, YouTube videos and streaming services such as Netflix. 587.86 million shares or 1.69% more from 578.10 million shares in 2016Q3 were reported.

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