To The Moon

Paramount's financial woes and extensive cost-cutting measures are overshadowed by the potential operational improvements under new leadership, especially in streaming and content strategy. Paramount's streaming future is uncertain, but retaining it as an independent service with improved tech is recommended. Paramount's showdown with Nielsen over measurement fees could lead to significant savings, potentially doubling market cap on its own. Despite past mistakes, there are signs of a turnaround with new management, and I maintain a Buy rating on Paramount. J Studios/DigitalVision via Getty Images As we close in on Thanksgiving I want to give a quick update on Paramount (NASDAQ:PARA) which I haven’t

Comcast's potential spinoff of its linear cable networks is unlikely to have a significant impact, hence management's efforts to temper analyst excitement. Management's proposal to find a partner for the Peacock streaming service is intriguing, but fraught with complications, including data control and others. Comcast's ACP losses were lower than expected, aided by new NOW Internet packages, but future broadband losses remain uncertain. The NBA deal is now admitted by management to be a loss leader. Loss leader strategies rarely work in streaming, making my concerns about the deal even worse. JHVEPhoto Well, that was certainly unexpected. Any of my regular readers know that I like to find aspects of a company that my fellow Seeking Alpha authors haven't covered, to avoid making r

Charter's earnings report showed much lower ACP broadband losses than expected, hence the 12% market rally. ACP losses may not end in Q4 as management projects. Spectrum Mobile showed continued strength and may become even more profitable than expected. Charter's new Video strategy has potential, but today management disclosed yet another unforced error in the transition. Without meaningful reductions in Video content spending, which are not on current track, Charter's Video reboot may die stillborn. jetcityimage Charter (NASDAQ:CHTR) reported its Q3 earnings today before market open, and the market has reacted very positively, bidding th

Summary EchoStar faces severe financial challenges, including a "going concern" warning and declining cash flow, jeopardizing its 5G network construction and spectrum licenses worth $20 billion. The company's strategy to use pay-TV cash flows to fund 5G network construction is faltering due to losses in the Retail Wireless and Broadband segments. EchoStar's immediate survival hinges on securing new financing to cover $1.98 billion in debt maturing in November 2024, with uncertain prospects. Despite the risks, a successful 5G network build out could significantly boost EchoStar's market cap, offering substantial upside potential if the company can overcome its hurdles. enot-poloskun With the announcement of EchoStar’s (NASDAQ:SATS)

Summary AT&T has multiple tickers trading on the market, including "baby bonds" which offer a lower yield compared to common stock. The baby bonds are now callable, and with the potential for falling interest rates, may not be a good investment option. AT&T's balance sheet improvements may be illusory due to "spectrum skimping," making the common stock a more risky investment than it appears. jetcityimage One of the things about the stock market that spectators don’t often realize but that any investor learns very quickly is that with many of the larger companies, there are multiple different tickers trading on the market pertaining to it. Ma Bell is no exception, and I want to examine the so-called “baby bonds” ticker (

Summary Charter rose after Q2 earnings despite massively escalating Video losses over the past few quarters, as Video has long been seen as irrelevant. Charter's own disclosures provide evidence that Video may have never stopped really contributing to profit, with as much as 21% of 2023 profit indirectly attributable to Video. CEO Chris Winfrey's new Video strategy is a major piece of Charter's future. The idea is to bundle streaming services with the core linear service. This strategy's viability depends on making those subscriptions upgradeable and flexible. The first eight months of the Disney deal fell well short of this, hence Charter's massive video losses. Charter is now course correcting, and a viable Video strategy may well boost profits to counterbalance rising broadband competit

Summary Warner Bros. Discovery is considering a bifurcation into two standalone entities, one for linear assets and one for direct-to-consumer assets. The potential spinoff could result in significant gains for shareholders but also poses risks and challenges, including legal battles with bondholders. Despite the possibility of a spinoff, Warner Discovery faces operational challenges, including declining box office performance and pressure on its studio segment. The likely loss of the NBA, or the much higher costs to keep it, will further pressure the Networks segment, which is Warner's largest cash generator by far. The potential of the new spinoff plan for shareholders is real, but the company seems to lack a plan B if the spinoff is blocked or otherwise foiled. A Warner investment remai

Summary The launch of Venu Sports was likely influenced by the recent clash between Charter Communications and Disney, highlighting the need for a backup distribution system in case of contract disputes. The cost of partners to help defray the cost of the service was the exclusion of non-sports channels; secondary for Disney and Warner, but a very serious problem for Fox. Fox News and the NFL contract each represent the entirety of Fox's profit, Fox needs both to go right to make any money. They're increasingly at odds with one another. It may become impossible going forward to protect both, since distribution for the NFL requires sacrificing News and vice versa. The end result of the various legal disputes pertaining to Venu may not be an injunction, but matching flexibility for most line

Summary AMC Entertainment's stock spiked to more than $10 from $3.55 after meme traders rallied around the name, but has since given back roughly 50% of the peak. CEO Adam Aron cashed in on the meme traders' exuberance by selling almost 100 million shares, raising millions for the company. Further dilution is very possible if meme traders continue to provide any meaningful price bounce support in coming days, in my opinion. AMC's underlying business model, which includes a self-defeating revenue share system with studios, is the main cause of its losses and needs to be addressed for a fundamental rebound. Avoid AMC Entertainment unless there's a complete strategic change. Matthew Nichols Well, the memes are at it again. After closing last week below $3, AMC Entertainment Holdings, Inc. (NY

Summary Warner Bros. Discovery's current stock price is under $10 per share, leading some to consider buying in to time the rebound. The financials of sports broadcasting deals, using the NBA as a test case is analyzed. The profitability of sports broadcasting deals can be deceptive due to bidirectional bands and the maldistribution of costs and revenues. Warner is substantially further in the red than it currently appears, because it is in the tail end of the NBA renewal cycle, meaning its profits are artificially high from the deal, but for only two years. simonkr/E+ via Getty Images I am reading more and more about many who believe that, now that Warner Bros. Discovery, Inc. (NASDAQ:WBD) has fallen all the way down to under $10 per share