Sector: Communication Services | Focus: Broadcasting
HQ: New York City, New York
Financial Risks
The company faces risks from ongoing litigation (including defamation lawsuits and regulatory inquiries), potential unfavorable outcomes in pending legal matters, and the possibility of further declines in advertising expenditures, subscriber numbers, and programming rights renewals. Uncertainties exist regarding the resolution of the Smartmatic and other lawsuits, and the potential impact on the company's business, financial condition, and cash flows. The company's operations are subject to tax audits and potential disputes.
Financial Upside
Increased revenues from affiliate fees, advertising, and other sources, driven by higher rates per subscriber, political advertising, and sports sublicensing, are noted. Higher segment EBITDA, particularly in Cable Network Programming and Television, contributes to improved net income. The company has a large stock repurchase authorization and access to capital markets.
