Finance analysts: "Sell TEN"
- Published by David Knox
- on
- Filed under News
Disappointing financial news today for both TEN and Nine, though from differing perspectives.
Merrill Lynch, one of the world’s leading financial management and advisory companies, has downgraded TEN’s status from “neutral” to “sell.”
It is based on the view that that the commercial broadcaster faces a slowing advertising market and falling share price this year.
“Looking into 2008 against the backdrop of a slowing ad market, we believe there is further downside to come,” analysts Alice Bennett and Dominique d’Avrincourt said in a note.
The downgrade comes on the same day Free TV Australia showed that in the six months to December 2007, Seven expanded its dominance with a 38.85 per cent share of national advertising revenue. TEN followed with 30.84 per cent, followed by Nine, on just 30.81 per cent.
It is the first time Nine has seen the lowest revenue of the 3 commercial networks.
Source: Sydney Morning Herald