CBS Corp. (CBS) Announces Stock Repurchase
CBS Corp. (CBS, 29.62) announced that it has agreed to repurchase approximately 47 mln shares of CBS Class B common stock for about $1.4 bln through an accelerated share repurchase transaction.
The repurchase is in connection with CBS's share repurchase program announced on Feb. 27, and speaks overall to the stock's defensive appeal. CBS's recent solid financial results (with earnings per share in the fourth quarter surpassing expectations by $0.13 at $0.60) and enhanced shareholder returns continue to underscore our positive position on the stock.
Certainly we have been high on CBS since it parted ways with Viacom (VIA) in 2005, although our favorites in the Media and Entertainment industry have been News Corp. (NWS/A) and Walt Disney (DIS), which are suggested holdings in the Briefing.com Active Portfolio.
Just Monday, CBS Chief Executive Les Moonves said at an investment conference that this summer's "upfront" period - when television networks sell commercial time in advance of the fall season - is on track to generate stronger ad prices than in 2006. He also said that CBS will benefit from a move to secure cash compensation from cable companies in exchange for rights to retransmit signals of local stations on cable systems.
On a related note, Briefing.com recently downgraded the Consumer Discretionary Sector to Underweight.
--Christine Marie Nielsen, Briefing.com
The repurchase is in connection with CBS's share repurchase program announced on Feb. 27, and speaks overall to the stock's defensive appeal. CBS's recent solid financial results (with earnings per share in the fourth quarter surpassing expectations by $0.13 at $0.60) and enhanced shareholder returns continue to underscore our positive position on the stock.
Certainly we have been high on CBS since it parted ways with Viacom (VIA) in 2005, although our favorites in the Media and Entertainment industry have been News Corp. (NWS/A) and Walt Disney (DIS), which are suggested holdings in the Briefing.com Active Portfolio.
Just Monday, CBS Chief Executive Les Moonves said at an investment conference that this summer's "upfront" period - when television networks sell commercial time in advance of the fall season - is on track to generate stronger ad prices than in 2006. He also said that CBS will benefit from a move to secure cash compensation from cable companies in exchange for rights to retransmit signals of local stations on cable systems.
On a related note, Briefing.com recently downgraded the Consumer Discretionary Sector to Underweight.
--Christine Marie Nielsen, Briefing.com
posted by Stock Administrator @ 7:33 PM
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