Ugh...wish this would be decided one way or another, although, I want Disney to stay independent....can't stand this waiting though.
Disney off; Comcast rumor discounted
By Russ Britt, CBS.MarketWatch.com
Last Update: 1:05 PM ET March 15, 2004
LOS ANGELES (CBS.MW) - Shares of Walt Disney Co. dropped more than 3 percent Monday, after rumors circulated Friday Comcast Corp. would raise its bid for the media giant over the weekend - a rumor that never came to life.
Disney also fell into a general market malaise wrought by terror-induced fears. Last week's bombings in Spain continued to take their toll as the Dow Jones Industrial Average fell 1.1 percent.
Disney (DIS: news, chart, profile) lost 91 cents, or 3.5 percent, to $25.19 at midday, gapping down to open the session when no announcement from Comcast (CMCSA: news, chart, profile) (CMCSK: news, chart, profile) came through. Disney shares had risen $1.10 on Friday, or 4.4 percent.
Comcast, meanwhile, was off a penny to $28.32.
"There was a rumor that Comcast would come out with a revised bid this morning," said David Miller of Sanders Morris Harris. "It didn't materialize."
Other analysts said a new bid was expected to be as much as $5 over the current offering of $26.47.
"The shares had run up particularly as the arbitrageurs came in," said Kevin Calabrese of Argus Research. "They realized that even if there is a higher bid, it's not coming for a while."
Tim Fitzpatrick, a Comcast spokesman, said the company is standing by its original bid. He said the offer "reflects a full and generous valuation based on Disney's properties and performance over a long period of time."
Both Miller and Calabrese pointed out that on Thursday, Disney stock dipped primarily due to terror concerns emanating from the rail explosions in Spain last week. Today's pricing now reflects those concerns as well, they added.
Disney shares were hit particularly hard after the Sept. 11, 2001, attacks on New York and Washington, D.C., due to a severe downturn in the company's theme park business that followed. With any major terrorist initiative, the company's shares are likely to feel the impact, Calabrese said.
"If we see another terrorist attack any time soon, it'll get hit worse," he said.
Disney off; Comcast rumor discounted
By Russ Britt, CBS.MarketWatch.com
Last Update: 1:05 PM ET March 15, 2004
LOS ANGELES (CBS.MW) - Shares of Walt Disney Co. dropped more than 3 percent Monday, after rumors circulated Friday Comcast Corp. would raise its bid for the media giant over the weekend - a rumor that never came to life.
Disney also fell into a general market malaise wrought by terror-induced fears. Last week's bombings in Spain continued to take their toll as the Dow Jones Industrial Average fell 1.1 percent.
Disney (DIS: news, chart, profile) lost 91 cents, or 3.5 percent, to $25.19 at midday, gapping down to open the session when no announcement from Comcast (CMCSA: news, chart, profile) (CMCSK: news, chart, profile) came through. Disney shares had risen $1.10 on Friday, or 4.4 percent.
Comcast, meanwhile, was off a penny to $28.32.
"There was a rumor that Comcast would come out with a revised bid this morning," said David Miller of Sanders Morris Harris. "It didn't materialize."
Other analysts said a new bid was expected to be as much as $5 over the current offering of $26.47.
"The shares had run up particularly as the arbitrageurs came in," said Kevin Calabrese of Argus Research. "They realized that even if there is a higher bid, it's not coming for a while."
Tim Fitzpatrick, a Comcast spokesman, said the company is standing by its original bid. He said the offer "reflects a full and generous valuation based on Disney's properties and performance over a long period of time."
Both Miller and Calabrese pointed out that on Thursday, Disney stock dipped primarily due to terror concerns emanating from the rail explosions in Spain last week. Today's pricing now reflects those concerns as well, they added.
Disney shares were hit particularly hard after the Sept. 11, 2001, attacks on New York and Washington, D.C., due to a severe downturn in the company's theme park business that followed. With any major terrorist initiative, the company's shares are likely to feel the impact, Calabrese said.
"If we see another terrorist attack any time soon, it'll get hit worse," he said.