EW Scripps CEO Adam Symson has expressed his views on the recent decline in valuations of local TV station owners, including Sinclair, TEGNA, and EW Scripps. This decline was a result of the announcement of a new sports joint venture by Disney, Warner Bros. Discovery, and Fox, set to launch this fall.
Following this announcement, Sinclair’s stock dropped by 12%, TEGNA fell by 7.2%, and Scripps plummeted by 24%. However, Symson believes that Wall Street’s reaction is exaggerated. He mentioned that local ABC and Fox affiliates would be part of the new skinnier bundle, contrary to what investors seem to be pricing in.
Despite the initial decline, Sinclair’s stock rose by 7% on Thursday, while TEGNA and Scripps remained relatively unchanged. Symson’s confidence in the inclusion of ABC stations in the new bundle is based on assurances he received from Disney executives.
It seems that the market may have misunderstood the implications of the new sports joint venture, and Symson’s reassurances could potentially change the outlook for local TV station owners.
2024-02-08 17:26:09
Source from www.cnbc.com