Brean Murray Reiterates Hold Rating on Time Warner Cable

In a report published Monday, Brean Murray, Carret & Co. reiterated its Hold rating on Time Warner Cable (NYSE: TWC).

Brean Murray noted, “Time Warner Cable (TWC) will report 2Q12 results on Thursday, August 2, before the open. We expect results to be acceptable, at least optically, as TWC will continue to enjoy the benefits of its recent acquisition of Insight. Cable HSD trends remain positive, with telco DSL churn accelerating, but continued service disruptions from retrains fights, a weaker video service profile, and TWC's aggressive discounting of bundled service packages is putting pressure on pricing. As the % decline in APRU per RGU has begun to exceed the annual % increase in total PSU, excluding acquisition synergies and business services, we believe TWC is challenged to show organic growth in its core residential business.”

Time Warner Cable closed on Friday at $84.47.