VIACA - ViacomCBS rises as MoffettNathanson upgrades on valuation

ViacomCBS is higher premarket ([[VIAC]] +1.2%, [[VIACA]] +0.5%) after an upgrade to Neutral at MoffettNathanson, from Sell. That's a change based on valuation based on the price's "implosion" due to the blow-up at Archegos Capital. Shares fell from their all-time high of $101.97 on March 15 to $41.71 as of Friday. There are still long-term concerns about the stock, the firm says, explaining that its call is about post-collapse risk and is due to near-term news flow. ViacomCBS may not be able to take advantage of easy comparisons in linear TV advertising due to ratings pressure holding down upside, it says. The near term means shares will be supported by a "simple growth narrative" from video-on-demand advertising, but that will mainly allow core revenue to "optically" look better than underlying trends. It has a $44 price target on VIAC, vs. Friday's close of $41.71.

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ViacomCBS rises as MoffettNathanson upgrades on valuation