Cable Stocks Plunge in Market Rout
Continued fears over global market declines drove down the Dow Jones Industrial Average by more than 1,000 points on Monday, with cable stocks caught up in the sell-off.
The Dow plunge was the third straight trading day of heavy losses – the Index lost more than 300 points last Thursday and more than 535 points on Friday. According to reports the Dow was down as much as 6% in early trading Monday, with the S&P 500 Index falling nearly 5%.
In the cable sector, no stock was spared – even SVOD pioneer Netflix opened the session down 15%. On the distribution side, Cablevision Systems led decliners, falling 9.4% ($2.22 each) in early trading to $21.52 per share, followed by Charter Communications (down 7.1%), Time Warner Cable (down 4.3%) and Comcast (down 4%). Cable One, which began trading in July, was unchanged early in the day at $419.75. Satellite stocks also got hit hard, with Dish Network dipping ($$.83 each) 7.9% to $56.12 in early trading Monday.
Programming stocks, which have taken a pounding in the past several days, continued their downward slide Monday. Time Warner Inc. fell 7.9% ($5.74 each) to $66.97 per share, followed by CBS, (down 7.8%); Disney (down 7%); 21st Century Fox (down 5.7%); AMC Networks (down 5.6%); Discovery Communications (down 5.2%); and Viacom (down 4.4%).
The smarter way to stay on top of the multichannel video marketplace. Sign up below.