Discovery Communications (DISCA) Lifted to “Hold” at Pivotal Research

Discovery Communications (NASDAQ:DISCA) was upgraded by Pivotal Research from a “sell” rating to a “hold” rating in a report released on Thursday, MarketBeat Ratings reports. The brokerage presently has a $27.00 price target on the stock. Pivotal Research’s price target indicates a potential downside of 4.66% from the company’s current price.

The analysts wrote, “We value Discovery using a DCF, with a near-term discount rate of 6.7%, a long-term discount rate of 13.5% and a 2.5% long-term growth rate.””

Other research analysts also recently issued research reports about the company. Royal Bank of Canada reiterated a “buy” rating and set a $30.00 price target on shares of Discovery Communications in a research note on Wednesday, August 8th. Jefferies Financial Group upgraded Discovery Communications from a “hold” rating to a “buy” rating and set a $20.00 price target for the company in a research note on Tuesday, August 21st. Barrington Research reiterated a “buy” rating and set a $30.00 price target on shares of Discovery Communications in a research note on Friday, August 17th. Citigroup increased their price target on Discovery Communications from $30.00 to $32.00 and gave the stock a “buy” rating in a research note on Wednesday, August 15th. Finally, Macquarie set a $38.00 price target on Discovery Communications and gave the stock a “buy” rating in a research note on Friday, September 14th. Five investment analysts have rated the stock with a hold rating, thirteen have assigned a buy rating and one has issued a strong buy rating to the stock. Discovery Communications currently has a consensus rating of “Buy” and an average target price of $32.79.

Shares of DISCA stock traded up $0.34 on Thursday, hitting $28.32. 1,601,823 shares of the stock were exchanged, compared to its average volume of 4,529,868. The company has a debt-to-equity ratio of 1.61, a quick ratio of 1.01 and a current ratio of 1.01. The company has a market capitalization of $14.65 billion, a price-to-earnings ratio of 12.64, a PEG ratio of 0.39 and a beta of 1.24. Discovery Communications has a one year low of $19.03 and a one year high of $34.89.

Discovery Communications (NASDAQ:DISCA) last posted its quarterly earnings results on Thursday, November 8th. The company reported $0.52 earnings per share for the quarter, missing the consensus estimate of $0.62 by ($0.10). The firm had revenue of $2.59 billion for the quarter, compared to the consensus estimate of $2.60 billion. Discovery Communications had a positive return on equity of 17.05% and a negative net margin of 8.52%. The firm’s revenue was up 57.0% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.43 EPS. Equities analysts predict that Discovery Communications will post 2.67 EPS for the current year.

In other Discovery Communications news, General Counsel Savalle Sims sold 1,666 shares of the firm’s stock in a transaction dated Wednesday, September 12th. The stock was sold at an average price of $28.21, for a total value of $46,997.86. Following the completion of the transaction, the general counsel now owns 208 shares in the company, valued at approximately $5,867.68. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Kenneth W. Lowe sold 58,000 shares of the firm’s stock in a transaction dated Tuesday, November 13th. The stock was sold at an average price of $28.88, for a total value of $1,675,040.00. Following the completion of the transaction, the director now owns 1,236,060 shares of the company’s stock, valued at approximately $35,697,412.80. The disclosure for this sale can be found here. In the last 90 days, insiders sold 281,031 shares of company stock valued at $8,506,185. 6.73% of the stock is owned by corporate insiders.

A number of hedge funds and other institutional investors have recently modified their holdings of DISCA. Truvestments Capital LLC bought a new stake in shares of Discovery Communications during the 3rd quarter valued at about $122,000. Dupont Capital Management Corp boosted its position in shares of Discovery Communications by 108.8% during the 2nd quarter. Dupont Capital Management Corp now owns 6,010 shares of the company’s stock valued at $165,000 after acquiring an additional 3,132 shares during the last quarter. FNY Investment Advisers LLC bought a new stake in shares of Discovery Communications during the 3rd quarter valued at about $172,000. Chicago Equity Partners LLC bought a new stake in shares of Discovery Communications during the 3rd quarter valued at about $200,000. Finally, Engineers Gate Manager LP bought a new stake in shares of Discovery Communications during the 3rd quarter valued at about $202,000. Institutional investors and hedge funds own 41.80% of the company’s stock.

About Discovery Communications

Discovery, Inc operates as a media company worldwide. The company operates through U.S. Networks, International Networks, and Education and Other segments. It owns and operates various television networks under the Discovery Channel, TLC, Animal Planet, Investigation Discovery, Science Channel, Velocity, Discovery Family Channel, Destination America, American Heroes Channel, Discovery Life, The Oprah Winfrey Network, Eurosport, Discovery Kids, DMAX, and Discovery Home & Health brands, as well as other regional television networks.

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Analyst Recommendations for Discovery Communications (NASDAQ:DISCA)

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