Cable & satellite stocks have been on a tear since troughing at the onset of the Great Recession (top panel). However, on the industry operating front, there are some demand cracks forming. Cable outlays are trailing overall PCE and…

Highlights Portfolio Strategy A more balanced cable & satellite and movies & entertainment industry profit backdrop is signaling that only a neutral stance is warranted in both these media sub-indexes. Trim to neutral. These…

Overweight The cable & satellite index heavyweights Comcast and Charter Communications both reported their results last week, announcing that they had churned 34,000 and 90,000 of the traditional video customers, respectively.…

Highlights Portfolio Strategy Upgrade capital markets stocks to overweight and put them on the high-conviction list. Capital formation is poised to accelerate in the second half of the year. Our Indicators suggest that demand for…

Cable stocks continue to demonstrate market leadership, largely on the back of the industry ability to persistently raise selling prices at a rate much faster than overall inflation. Cable operators' ability to continually evolve…

Earlier this month we made a rare shift from underweight to overweight in the S&P cable & satellite index, because fears of cord cutting and skinnier cable packages undermining profitability were no longer justified. In fact, in…

Our bearish thesis on the S&P cable & satellite index is not playing out. Instead of skinnier cable packages and cord cutting denting profitability, the industry has managed not only to sustain pricing power, but also to…

Equities are back in overshoot territory. We added the health care sector to our high-conviction overweight list, boosted managed care to overweight and put health care equipment on downgrade alert. Buy cable stocks.