39.17 0.00 (0.00%)
After hours: 7:47PM EST
|Bid||39.15 x 3100|
|Ask||39.17 x 1300|
|Day's Range||39.07 - 39.48|
|52 Week Range||26.80 - 39.58|
|Beta (3Y Monthly)||0.61|
|PE Ratio (TTM)||17.56|
|Earnings Date||Jan. 29, 2020|
|Forward Dividend & Yield||2.04 (5.18%)|
|1y Target Est||38.56|
Disney+ has a chance of becoming a major player in the streaming world. However, a major change can be on the horizon that would take streaming entertainment to the next level.
Amdocs (DOX), a leading provider of software and services to communications and media companies, and AT&T* (NYSE:T), are extending their collaboration to modernize and upgrade AT&T’s digital business support systems under a multi-year managed services agreement. "5G and the cloud will lead to new business and consumer applications we haven’t even imagined yet, and developers and creators will look to us to help make those visions a reality," said Andre Fuetsch, EVP & Chief Technology Officer, AT&T. "As the ecosystem continues to expand, we need to provide a solid foundation to build on. "AT&T has always driven our industry forward, improving the way people live and work," said Shimie Hortig, group president, Americas at Amdocs.
(Bloomberg Opinion) -- Is it just me, or does the $100 million “severance” being paid to Joe Ianniello, the acting chief executive officer of CBS Corp., stink to high heaven? For starters, you can make a pretty compelling Elizabeth Warren-esque argument that handing a $100 million “severance” to someone who is not, in fact, leaving the company is exactly why income inequality has become such a hot-button issue.But let’s be old school about this. Let’s focus on the shareholders and how this is their money that’s being handed to Ianniello. It is also an unpleasant reminder of how the father-daughter combo of Sumner and Shari Redstone seemingly can’t resist throwing hundreds of millions of dollars at executives who have not done much for their stockholders.The Redstones, of course, control CBS through their privately held film exhibition company, National Amusements Inc. They also control Viacom Inc., which Sumner Redstone bought for $3.4 billion in 1987. (Viacom acquired CBS in 1999.) Until 2016, Sumner Redstone, now 96, was the executive chairman of both companies, though he had largely disappeared from public view two years earlier amid allegations that he was in serious decline. Shari Redstone, 65, is the vice chairman of both companies.In 2003, when CBS was still part of Viacom — and Sumner Redstone was still in charge — Les Moonves became its CEO, a position he retained when CBS was spun off in late 2005. Between 2007 and 2018, when Moonves was fired for sexual improprieties, the CBS board, led by the Redstones, paid him just shy of $700 million, according to figures compiled by Bloomberg. That’s an average of $63.6 million a year.I happen to think that $63 million a year is an absurd amount to pay a manager to run a company. But even if you accept that entertainment companies pay their executives insane amounts — Discovery Inc. paid its CEO, David Zaslav $129.4 million last year, for crying out loud — it is reasonable to assume that such an outsized paycheck would be justified by outsized performance.Not so. During the Moonves era at CBS, the S&P 500 Index returned an average of 9% a year. CBS returned 8.7% a year. In other words, the Redstones and the CBS board paid hundreds of millions of dollars of its shareholders’ money to a man who could barely keep pace with an index fund. (By comparison, the Walt Disney Co. returned 14.6%, and 21st Century Fox returned 10.5%.)The situation at Viacom is even worse. Remember Philippe Dauman, the former CEO whom Sumner Redstone once called “the wisest man I know”? He ran Viacom for a decade, from 2006 to 2016. According to Equilar, a company that compiles executive compensation figures, his compensation during those 10 years was nearly $500 million — while the stock gained a paltry 2.7% a year on average. You may recall that Dauman wound up in a nasty court fight with the Redstones in 2016, trying to keep his job by contending that Sumner Redstone was no longer mentally competent to make key business decisions. After winning that battle, the Redstones still handed Dauman a parting gift as they pushed him out the door: a $75 million severance package.Which brings us back to Ianniello. Although he has been acting CEO only since Moonves departed late last year, Ianniello has also been the recipient of the Redstones’ largesse: Between 2016 and 2018, as the company’s chief operating officer, his compensation averaged $27 million a year, according to Bloomberg. The stock? It dropped from the low 70s to the mid-40s during those three years. This is what’s known as “pay for pulse.”So why did Shari Redstone feel the need to hand Ianniello an additional $100 million? The reasons are twofold. First, Redstone is recombining Viacom and CBS. She doesn’t want Ianniello to leave — at least not right away — but she also isn’t going to make him the top dog. Second, for legal reasons, she can’t ramrod this deal through by herself, even though she is the controlling shareholder. She needs the CBS board and senior management to support the bid. “You need Joe to get the merger done,” Robin Ferracone, the CEO of executive compensation consulting firm Farient Advisors, told Bloomberg. “So you need to make him indifferent to whether he’s going to lose his job or not.”Yes, $100 million is certainly likely to buy a whole lot of indifference. Then again, $10 million probably could have achieved the same result. And in any case, if Shari Redstone needs $100 million to, er, persuade one of her executives to support her merger plan, maybe that suggests the merger’s success is not exactly a slam dunk.I have a hard time seeing how combining two underperforming media companies with a hodgepodge of assets will create a worthy competitor to powerhouses such as Disney, which rolled out its Disney+ streaming service on Tuesday morning, and AT&T, which next year will bundle its media assets into another streaming entrant, HBO Max. But Shari Redstone wants to combine Viacom and CBS, and with the help of that $100 million, that’s what’s going to happen. When the companies are merged, which is expected to take place next month, the CEO of the combined entity will be Bob Bakish, who is Viacom’s CEO.Since he took over Viacom, Bakish’s compensation has been surprisingly normal, at least by modern CEO standards. According to company filings, he received about $20 million a year in total pay in 2017 and 2018.But fear not. Once the deal is done, Bakish’s pay is set to jump to more than $30 million. I predict that he’ll be in Moonves/Dauman territory in no time. After all, overpaying executives is the Redstone way.To contact the author of this story: Joe Nocera at email@example.comTo contact the editor responsible for this story: Daniel Niemi at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Joe Nocera is a Bloomberg Opinion columnist covering business. He has written business columns for Esquire, GQ and the New York Times, and is the former editorial director of Fortune. His latest project is the Bloomberg-Wondery podcast "The Shrink Next Door."For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Associate Stock Strategist Ben Rains dives into some of Disney's recent quarterly results, before we look at Disney+ and discuss which company, from Netflix to Amazon might win the streaming TV war...
(Bloomberg Opinion) -- John Legere may be exactly the kind of CEO WeWork needs. He brings much of the eccentricity and charisma that was initially appreciated about ousted founder Adam Neumann, but without all the headaches and liabilities. Is Legere ready to retire his closet of magenta T-shirts? We Co., the parent of the beleaguered office-sharing startup, is in discussions to recruit Legere, the current head of wireless carrier T-Mobile US Inc., as its next CEO, the Wall Street Journal reported on Monday. The talks come after WeWork’s plans for an initial public offering imploded in grand fashion in recent weeks, as a litany of questionable decisions and conflicts of interests involving then-CEO Neumann came to light in a saga that has captivated Wall Street. WeWork, for a short time one of the world’s most valuable startups, had said in its summer IPO prospectus that its “future success depends in large part on the continued service of Adam Neumann.” Weeks later, Neumann was considered such a risk that the company decided it was better to effectively give him $1.2 billion to step away.Hiring Legere would immediately help improve WeWork’s tarnished reputation, though repairing the business is another story. Office vacancies increased in the third quarter, and the company was at risk of running out of cash next year. Legere’s garish style and hectoring on Twitter may also cause some to wonder whether he’s just another Neumann; it’s certainly hard not to notice the physical resemblance between the long hair, loud personality and signature T-shirt-and-sports-coat pairing.But few CEOs can say they’ve taken on a challenge as difficult as reviving T-Mobile — and succeeded. That’s Legere’s claim to fame. As I wrote in July 2018, even the groaners who are tired of his shtick and Twitter snark can’t argue against his track record.When Legere became CEO of T-Mobile in 2012, it was a distant fourth-place competitor in the U.S. wireless market and losing customers. Now it’s the fastest-growing member of the industry, and its displaced Sprint as the No. 3 carrier. T-Mobile’s lower-priced plans and marketing mojo have even given AT&T Inc. and Verizon Communications Inc. a run for their money. In the last five years, shares of all its closest rivals advanced anywhere from 12% to 21%. T-Mobile’s nearly tripled. Legere may seem like an odd choice given that he’s spent his career working in the telecommunications and technology industries. The connection becomes clearer when considering SoftBank Group Corp.’s role. The Japanese conglomerate built by billionaire Masayoshi Son not only controls WeWork — the result of a $9.5 billion rescue package — but also Sprint Corp., T-Mobile’s closest competitor and hopeful merger partner. Sprint Executive Chairman Marcelo Claure, who is also chief operating officer of SoftBank, was tapped to help fix WeWork’s problems. He’s spent a lot of time with Legere these last two years as they worked to sway federal and state officials to support the merger of the two wireless carriers. Legere has done with T-Mobile what Claure and his predecessors couldn’t with Sprint, even as SoftBank injected billions along the way. One might think that WeWork would seek out a lower-profile leader, given the roller-coaster it has been on the past few months; Legere is anything but that. And at 61 years old, it’s a little surprising that he would consider following up such a successful run at T-Mobile with a stint at a company as troubled as WeWork. T-Mobile has become part of his identity — he’s spotted in magenta T-Mobile gear whether he’s going for runs in New York City or filming his Facebook Live cooking show from his kitchen. T-Mobile shareholders wouldn't be happy to see Legere go. Worse, there's the appearance of a conflict of interest if SoftBank is pursuing Legere while the companies are separately renegotiating the terms of the Sprint merger.That aside, it’s clear that Legere likes a challenge, and WeWork is the ultimate one.To contact the author of this story: Tara Lachapelle at email@example.comTo contact the editor responsible for this story: Beth Williams at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tara Lachapelle is a Bloomberg Opinion columnist covering the business of entertainment and telecommunications, as well as broader deals. She previously wrote an M&A column for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
The traditional ways to plan for your retirement may mean income can no longer cover expenses post-employment. But what if there was another option that could provide a steady, reliable source of income in your nest egg years?
The U.S. Supreme Court on Wednesday will a hear a dispute that pits Comcast, America’s biggest cable company, against an African-American TV mogul accusing it of racial bias because it declined to carry any of his channels.
From understanding your risk tolerance to maintaining emotional control, achieving your retirement goals takes a much different investing approach than regular stock trading.
(Bloomberg) -- Discovery Inc. wants to create its own version of Hulu.The cable-programming giant said Thursday that it’s considering combining its suite of TV channels into a streaming service that would be available directly to consumers in the U.S.Discovery sees “an opportunity to take content on a broader basis to mount an attack on those who are not existing cable subscribers,” Chief Executive Officer David Zaslav said on an earnings call. The company is looking at “aggregating all of our content in the U.S. and having something that looks very different.”The comments came with Discovery’s stock soaring after it reported third-quarter earnings that topped analysts’ estimates. The shares jumped as much as 12%, the most since February 2009, to $30.90 in New York trading.The new streaming platform would be a significant strategic shift for Discovery, which has been more cautious than other media giants in making its channels available to people who don’t get cable-TV subscriptions.While AT&T Inc.’s HBO and CBS Corp. made their channels available to cord cutters a few years ago, Discovery until recently had limited its non-cable offerings mostly to Europe and to niche audiences. But like other media companies, Discovery is losing subscribers to cord cutting, forcing the company to consider bypassing the cable bundle.Unscripted ProgrammingDiscovery, which bought Scripps Networks Interactive Inc. last year, owns several channels that feature unscripted programming, including HGTV, Animal Planet, TLC and the Discovery channel. By combining those channels into one streaming service, Discovery would be taking a page from Walt Disney Co.’s Hulu, which has long offered shows from broadcast channels to people who don’t pay for cable-TV service.While Disney and AT&T are planning streaming services in the U.S. with numerous expensive, scripted shows, Zaslav said Discovery’s streaming strategy is less risky because its unscripted programming costs far less to make.Zaslav said he didn’t think making its channels available to cord cutters would violate Discovery’s contracts with pay-TV distributors like Comcast Corp. or AT&T’s DirecTV.Sports RightsDiscovery has been assembling the rights to sports and nonfiction programming to launch new online video channels. It offers a streaming service for golf fans and an online video channel in Europe that Zaslav calls “the Netflix for sports.”Discovery is also planning new streaming-video services with the BBC’s natural-history programming and the stars of HGTV’s “Fixer Upper,” Chip and Joanna Gaines. And it recently introduced a new online channel called Food Network Kitchen that lets subscribers watch live cooking classes with famous chefs and have recipe ingredients delivered to their homes.Discovery has said it expects to spend $300 million to $400 million on its digital efforts in 2019.To contact the reporter on this story: Gerry Smith in New York at email@example.comTo contact the editors responsible for this story: Nick Turner at firstname.lastname@example.org, John J. Edwards IIIFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
AT&T (T) provides revamped 5G solutions and MEC at the University of Miami to promote innovative research, digital learning and development opportunities across various academic disciplines.
Disney's (DIS) fourth-quarter fiscal 2019 results are expected to reflect user base expansion at Hulu despite lower attendance level at Theme Parks.
On Tuesday, there was a big update for the T-Mobile (TMUS) and Sprint (S) merger deal. T-Mobile officially received regulatory approval from the FCC.
AT&T Inc.* (NYSE: T) will webcast a presentation by Igal Elbaz, senior vice president-wireless technology, at the Morgan Stanley European Technology, Media & Telecom Conference in Barcelona on Wednesday, November 13. The webcast will be available live and for replay at AT&T Investor Relations. AT&T Inc. (NYSE:T) is a diversified, global leader in telecommunications, media and entertainment, and technology.
(Bloomberg) -- The Federal Communications Commission formally blessed T-Mobile US Inc.’s proposed purchase of Sprint Corp., publishing the decision approved by commissioners in a closed-door vote last month.The combination of the wireless carriers still needs to clear a court challenge brought by states. It was approved by the FCC on a 3-to-2 Republican-led vote on Oct. 16, but publication of the order was delayed.“The transaction will help secure United States leadership in 5G, close the digital divide in rural America, and enhance competition in the broadband market,” FCC Chairman Ajit Pai said Tuesday in a statement.The $26.5 billion deal won Justice Department approval in July as the carriers agreed to sell airwaves to Dish Network Corp. to create a new fourth wireless company and new competitor once Sprint is eliminated as a choice for consumers.T-Mobile and Sprint have agreed not to close their deal until after a decision in a multistate lawsuit. A trial is set for early December.Next HurdleThe states say the combination of the third- and fourth-largest U.S. wireless providers will decrease competition and raise prices in a market that’s already concentrated. The deal’s backers say it will quickly bring advanced 5G networks and create a stronger rival to leaders AT&T Inc. and Verizon Communications Inc.The FCC, in its order, rejected claims the deal would harm consumers.“The transaction would not substantially lessen competition,” the FCC said in the order, in part because low-cost provider Boost Mobile will be divested to Dish, which also receives network access and retail stores to form a new competitor,Two FCC Democrats voted against the merger, saying it’s bad for consumers.“The most likely effect of this merger will be higher prices and fewer options for all Americans,” Commissioner Geoffrey Starks said in an emailed statement. “It will establish a market of three giant wireless carriers with every incentive to divide up the market, increase prices and compete only for the most lucrative customers.”T-Mobile Chief Executive Officer John Legere -- who remade T-Mobile into a maverick competitor by eliminating annual contracts and offering unlimited data plans -- disputes that prices will go up. He insists that by buying Sprint he will be able to better compete against industry leaders Verizon and AT&T, all to the benefit of U.S. consumers.Sprint and T-Mobile are within reach of completing a deal that they have flirted with for years. In 2014, top officials at the Justice Department and the FCC rebuffed an effort by the companies to combine. The carriers returned in 2018, hoping for a more favorable reception from appointees of the Trump administration.Use or LoseThe approval also cancels Dish’s March 7 deadline to use some of its airwaves. Dish had started work on a narrowband network to satisfy the use-or-lose requirement, which could have forced the company to give up some of its airwave licenses.As part of the deal, Dish is committed to cover at least 20% of the U.S. population with 5G broadband by June 14, 2022, and 70% of the population by 2023.Dish faces an assortment of fines related to several bands of airwaves if it doesn’t meet its build-out commitments. The fine is capped at $1 billion.(Updates Dish-related conditions three paragraphs from bottom.)To contact the reporters on this story: Todd Shields in Washington at email@example.com;Scott Moritz in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Jon Morgan at email@example.com, Rob GolumFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.