Sharewatch: Cordiant Falls Following Loss Of Key Client

Week on week analysis of the media market reveals that Cordiant Communications suffered the sector’s most significant decline. The stock fell 34.12% week on week, following the loss of blue chip client Allied Domecq (see Cordiant Bounces Back As Short-Term Funding Is Agreed).

Elsewhere, the radio sector was seen in focus after the publication of the latest RAJAR listening figures for the first quarter of 2003 (see RAJAR Results Q1 2003 – National Commercial Radio Improves Reach). Capital was seen down 6.99% week on week, after its flagship Capital 95.8 FM station saw its weekly reach decline by 10.5% year on year (see RAJAR Results Q1 2003 – Capital 95.8 FM Feels The Heat In London). The figures prompted leading brokerage houses to downgrade their rating on the radio group. Merrill Lynch downgraded the stock to sell from neutral, while UBS Warburg switched to neutral from buy.

Meanwhile, Investec Securities cut its rating on Emap to hold from buy and the stock inched up 1.27% week on week. Chrysalis was also seen up, rising by 4.40% week on week following a strong set of RAJAR figures.

The closing prices of media company shares on Friday were: