Wondering which internet and media stocks to invest in and which ones to avoid? Here’s what Rosenblatt Securities analyst Barton Crockett recommends for buying and selling.
Analyst Barton Crockett initiated coverage of Charter Communications Inc CHTR with a buy rating and price target of $732.
“The transition of charters and peers to 1G upstream/multi-gig downstream DOCSIS 3.1 with a glide path to 10G upstream/downstream DOCSIS 4.0 makes their service fully competitive with fiber, the best challenger technical. I expect the growth of broadband to continue as it is the most important service of the modern age, and the massive share buyback that has been a hallmark of Charter will have more of impact,” the analyst wrote.
Crockett launched the cover of Walt Disney Co. SAY with a buy rating and price target of $177.
“Disney’s theme parks, and those of its peers, are in what may be the strongest ever demand environment, judging by record price leverage and large crowds. . Other catalysts may arise as international travel resumes and Disney cruise ships resume sailing. In DTC streaming, I’m skeptical of the industry, but I see Disney as relatively well positioned as a frontrunner with large-scale leadership, a global footprint and a distinct brand,” the analyst said.
Alphabet (parent company of Google)
The Rosenblatt Securities analyst started covering Alphabet, Inc. GOOGL with a buy rating and price target of $4,183.
“Because of prime positioning for new ad privacy restrictions, leadership in viral video, and the emerging success of cloud services, no company is better positioned to take advantage of what is working online today and avoid which doesn’t work,” Crockett said.
The analyst initiated the coverage of Roku Inc. ROKU with a buy rating and price target of $188.
Crockett said in the note, “Roku shares are down 70% in the past year, versus a 7% rise in the S&P 500, hammered by the market’s poor turn against multiple high growth stocks, and Roku’s own failed guidance and rising costs. But that company’s sales growth is still healthy, and it occupies a strong gatekeeper position at the heart of TV’s transition from legacy platforms to streaming. expect this to continue and Roku’s position to remain, generating impressive value.
Sirius XM Funds
Crockett began to cover Sirius XM Holdings Inc. SIRI with a buy rating and a price target of $8.
“This company remains a sustainable and growing subscription entertainment business, able to withstand the pressures of declining car sales (which reduce undergrowth) and daily commuting (when there is a lot of traffic). An increase in new growth is emerging from its exposure to podcasting through acquisitions such as Stitcher and AdsWizz,” the analyst wrote.
The Rosenblatt Securities analyst started covering Snap inc. INSTANTANEOUS with a buy rating and price target of $49.
“User growth is rare at social media companies lately, but not so much at youth-focused Snap, which grew its global average daily assets by 20% in 2021 and sees a 20% increase in 1Q22… Resilient user growth makes Snap particularly investable in the social media group,” Crockett said in the note.
Crockett launched the cover of World Paramount PARA with a sell rating and price target of $29.
“The more streaming grows, the more industry-wide pressure there will be on traditional television. I see this compensation for Paramount over the long term with a very moderate earnings trajectory,” the analyst wrote. of Rosenblatt Securities.
Discovery of Warner Bros.
Analyst Crockett started covering Warner Bros Discovery, Inc. WBD with a sell rating and a price target of $20.
The merger “enhances both companies’ positions through the ability to streamline and streamline costs and product offerings,” the analyst said. “But that does nothing to create new hit shows that haven’t already been made by these companies separately. I see this translating into a muted long-term trajectory of cash flow,” he wrote.