Wunderlich Securities Provides Color On Viacom Pre-Earnings

Wunderlich Securities is maintaining its Buy rating on Viacom (NYSE: VIA-B).

“The increase is largely off a higher 1300 SPX target and longer forecast to 2015 vs. 2012 previously,” Wunderlich Securities writes.

“Analysis for i) MTV ad growth and cost control and ii) Paramount ratio of video+broadband sales to box office as well as iii) Paramount market share inclusive of low-margin distributed Dreamworks Animation (NASDAQ: DWA) releases and for in-house product only all suggest upside for Viacom's earnings and price target. The still low stock price, especially ignoring the Redstone control discount, amps the efficacy of buybacks.”

Viacom closed Monday at $28.07.