Deutsche Bank (DB) maintained its "Buy" rating on Viacom Inc.
(NASDAQ:VIA), while trimming its price target on the stock to $57 from
$60.
Nickelodeon ratings continue to disappoint but could improve the next
few months as new programming launches, the bank wrote in a note.
"While we might appear overly patient given multiple ad estimate
downgrades (though FY12 EPS unch’d), we find the valuation (10x FCF) /
return of capital ($20b over 5 yrs) combination compelling and expect
ratings challenges are cyclical not secular," DB said.
The stock, which has been trading between $44.10 and $60.90 over the
52-week period, inched 0.9 percent higher to close at $52.95 on
Wednesday.
