Discovery (NASDAQ: DISCA) (NASDAQ: DISCK) just reported its final quarter of a most difficult year. Fourth-quarter 2020 revenue was flat from a year ago, leaving the full-year total down 4% year over year to $10.7 billion -- which includes the deep advertising freeze last spring at the start of the pandemic lockdown. At the very least, ad activity has rallied to pre-pandemic levels, helping offset the slow but steady decline of cable TV subscribers.
But the real news here was of course the long-awaited launch of the streaming service Discovery+. And just seven weeks after its U.S. launch, Discovery+ has accumulated over 11 million subscribers worldwide and will surpass 12 million by the end of February. Profitability is going to take a hit this year as the media company props up its marquee service of the future, but this remains one cheap stock if the streaming service continues to pick up subscribers at a rapid pace.
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For further details see:
Over 11 Million Discovery+ Subscribers Gives Reason for Discovery Shareholder Cheer