Sharewatch: ITV Partners Suffer After Broker Comments
Carlton and Granada were seen in focus, after City bank Morgan Stanley warned the success of Freeview could hit their revenues hard (see Freeview Launch Hits ITV Harder Than Expected). The stocks were seen down 7.84% and 7.85% week on week respectively.
Elsewhere, it was a turbulent week for Cordiant, which is holding talks with bankers about renegotiating loan agreements and is ready to write £155m off the value of companies, which include the Bates Worldwide advertising network. The stock was seen up 5.45% week on week.
Media watchers also digested the gloomy forecast of outgoing Merrill Lynch analyst Neil Blackley, who reportedly warned that the current recession is ‘easily as bad’ as the economic crisis of 1971-72. According to the influential analyst, a dip in consumer confidence could lead to a second decline across the sector.
The closing prices of media company shares on Friday were:
