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Time Warner Cable Inc. (TWC)

  • Nov. 26, 2013, 3:14 PM
    • A Dow Jones headline suggests Cox Communications will be the next cable operator to make a run at Time Warner Cable (TWC +3.5%).
    • Shares of TWC are gaining steam off the report.
    | Comment!
  • Nov. 26, 2013, 1:16 PM
    • Over the last three calendar years an estimated 5M cable and broadband subscribers have been lost as the Pay-TV sector continues to feel the impact of cord-cutting and the coming of age of cord-nevers.
    • The consumer shift toward viewing content on the Internet and mobile devices is so well-entrenched that the industry could dip below the 40M subscriber mark for the first time in over five years. A major surprise is that the viewing slump also include major sporting events which were once considered the lynchpin strategy to prevent the cord-cutting phenomenon. (BI chart)
    • The recent surge in cable/media stocks is a result of the industry deciding it won't just sit on its hands amid stalled growth and will be open to consolidation.
    • Previous: Putting a number to cord-cutting.
    • Related stocks: CHTR, CVC, TWC, CMCSA, DISH, DTV.
    • Related ETFs: PBS.
    | 1 Comment
  • Nov. 25, 2013, 7:53 AM
    • Wells Fargo analyst Marci Ryvicker looks at what a joint Comcast (CMCSA)/Charter (CHTR) bid for Time Warner Cable  (TWC) would look like, with speculation of such a deal ripe (see here and here).
    • "There has been much TWC M&A speculation ever since Dr. John Malone took a 27% stake in CHTR in March of this year. Since that time, our view has been (and continues to be) that a break up (rather than an outright purchase by one player) of TWC is most logical; so, we were not surprised by recent press reports suggesting that CMCSA and CHTR might be working together to generate a joint bid for the cable company."
    • On the value, she writes: "We calculate ~$1.4B of annual synergies for a CMCSA-TWC partial bid, and ~$700M for CHTR for a CHTR-TWC partial bid, leading to a potential bid of $160 for TWC shares."
    • TWC closed +10% on Friday. CHTR was +6%. CMCSA was +4.4%
    | 1 Comment
  • Nov. 25, 2013, 1:59 AM
    • Comcast (CMCSA) and Charter (CHTR) have reportedly discussed breaking up Time Warner Cable (TWC) in any joint bid for the company in order to overcome antitrust objections to a deal.
    • The transaction would resemble Comcast's and Time Warner's acquisition of Adelphia Communications in 2006, when Comcast gained 1.7M customers and Time Warner 3.3M.
    • A break-up of Time Warner would also make it easier for Charter to gain financing, given that it's much smaller than Time Warner.
    • Meanwhile, the NYT carries a profile of John Malone, whose Liberty Media (LMCA)  owns 27% of Charter. The article reports that Time Warner Cable has contacted Comcast about a possible transaction, leading to early talks.
    | Comment!
  • Nov. 22, 2013, 2:38 PM
    • Comcast (CMCSA +5%) and Charter Communications (CHTR +5.6%) are reported to be considering a joint bid for Time Warner Cable (TWC +9.6%).
    • All three stocks have popped off the news.
  • Nov. 22, 2013, 1:50 PM
    • Comcast (CMCSA +3%) doesn't think it faces unsolvable regulatory obstacles it if buys Time Warner Cable (TWC +7.5%), say sources.
    • Based on geographic coverage area, Comcast and Time Warner Cable make for a logical pair to merge, but several media analysts question the ability to get the DOJ fully on board.
  • Nov. 22, 2013, 10:08 AM
    • Shares of Comcast (CMCSA +2.6%) are on the move after CNBC reports that some significant shareholders are telling management to take a look at bidding for Time Warner Cable (TWC +7.3%).
    • Though anti-trust issues can't be ignored, many media analysts think a CMCSA-TWC marriage makes more sense than TWC-Charter (CHTR) coupling.
    • Don't forget about Cablevision (CVC): Shares are up 6.4% as investors bet it might make it to the altar as well.
    | Comment!
  • Nov. 22, 2013, 8:21 AM
    • Shares of Time Warner Cable (TWC) are active in premarket trading after Charter Communications (CHTR) keeps hacking away at putting together a deal to buy the cable player.
    • Earlier this week, TWC CFO Arthur Minson didn't even give a glimmer of inspiration that the company would be receptive to an offer during his Q&A at an investor conference.
    • TWC +5.5% premarket to $127.50.
    | Comment!
  • Nov. 22, 2013, 2:46 AM
    • Charter Communications (CHTR) is reportedly close to a deal with banks to borrow money to fund a cash and stock offer for Time Warner Cable (TWC).
    • Other sources of financing could include sovereign wealth funds and wealthy individuals,
    • Charter's largest shareholder, Liberty Media (LMCA), could provide investment in order keep its stake in Charter at or above 25% in the event the latter issued stock to help pay for the purchase. Liberty owns 27% at the moment.
    • However, a deal remains a tall order. Time Warner has reacted negatively, while its market cap of $34.45B dwarfs Charter's $13.2B.
    | Comment!
  • Nov. 20, 2013, 10:50 AM
    | 1 Comment
  • Nov. 20, 2013, 7:12 AM
    • Time Warner Cable (TWC) CFO Arthur Minson offered a somewhat cool response to questions directed to him about a potential takeover by Charter Communications.
    • The exec said the interests of shareholders would come first and questioned the logic of a deal at this point in time.
    | Comment!
  • Nov. 18, 2013, 12:08 PM
    • Time Warner Cable (TWC +0.6%) signs a deal with Discovery Communications (DISCA +0.6%) to license content through the TV Everywhere initiative.
    • The deal is another step forward for TV Everywhere, although it's unclear at the moment if TWC subscribers will watch Discovery-owned shows via the cable operator's TV app or through Discovery's own website and mobile app.
    | Comment!
  • Nov. 13, 2013, 7:41 AM
    • Research firm MoffettNathanson estimates the pay-TV industry lost 0.2% of its subscriber count in Q3 Y/Y.
    • The drop which is partially attributable to the impact of more streaming options for consumers marks the worst 12-month loss of subscribers in the pay TV industry's history.
    • In this quarter's batch of earnings conference calls from industry heavyweights, execs showed a great deal of surprise at how resistant the sub-thirty year old crowd is to adding television services on top of broadband.
    • Related stocks: DISH, DTV, CHTR, TWC, CVC, CMCSA
    • Related earnings call transcripts: VZ, DISH, CHTR
    | Comment!
  • Nov. 7, 2013, 2:01 PM
    • Time Warner Cable (TWC -1.1%) and A+E Networks renew a content deal to see programming from the company's stable of networks (A&E, History, Bio, Lifetime) stay available for TWC subscribers.
    • Recent deals between broadcasters and programmers have been more about more than just fees. In that vein, the agreement with TWC also covers VOD and out-of-home platforms for A+E content.
    • A+Networks is owned 50-50 by Disney and Hearst Corporation.
    | Comment!
  • Nov. 1, 2013, 3:19 PM
    • Time Warner Cable (TWC +4.2%) shares spike on a rumor that Charter Communications (CHTR +2.3%) is weighing a bid for the cable operator by the end of year.
    • Update: the speculation comes from Reuters, which cites sources.
    | Comment!
  • Oct. 31, 2013, 8:29 AM
    • Time Warner Cable (TWC) reports it lost 304K video customers in Q3 after analysts expected a drop of around 182K.
    • The quarter included a high-profile blackout of CBS from key TWC markets which undoubtedly played a factor.
    • What to watch: The company's painful loss of subscribers adds a big wildcard to future negotiations between broadcasters and cable/satellite players.
    • Related stocks: TWX, CMCSA, FOXA, CHTR, DISH, DTV, VIAB, AMCX, CVC, DIS.
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Company Description
Time Warner Cable Inc provides video, high-speed data and voice services. The Company also offers security and home management services, networking and transport services and enterprise-class, cloud-enabled hosting, managed applications and services.
Sector: Services
Industry: CATV Systems
Country: United States