HALISTER1: Televisa Bonds Cut to Neutral at CreditSights on ’Lackluster’ 2Q

Televisa Bonds Cut to Neutral at CreditSights on ’Lackluster’ 2Q

(Bloomberg) -- Management’s ability to execute is a concern following a disappointing 1H, CreditSights analysts led by Mary Pollock write in note. Televisa’s ad revenue trends didn’t improve as expected during 2Q17. Shares in New York fell 1.2%.
  • CreditSights cuts view on bonds to market perform from outperform, seeing "limited scope" for spreads to compress anymore
  • NOTE: July 11, Televisa Mulls New Ad Pricing Strategy as Sales Slump Again
  • NOTE: July 11, Ad Slide Takes Bite Out of Televisa as Cable Rebounds: BI
  • Expecting more growth from Cable and Sky, which may offset declines in ad revenue if Televisa can’t turn around Content segment soon
  • Co.’s diversification across media formats is "key source" of support for lenders
  • Potential for peso weakness and M&A risk "should not be disregarded" and could lead to volatility in spreads, Pollock writes
To contact the reporter on this story: Michelle F. Davis in Mexico City at mdavis194@bloomberg.net To contact the editors responsible for this story: Arie Shapira at ashapira3@bloomberg.net Christiana Sciaudone

Alert: HALISTER1
Source: BFW (Bloomberg First Word)

Tickers
TLEVICPO MM (Grupo Televisa SAB)

People
Mary Pollock (Creditsights Inc)

Topics
First Word Credit US

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