3 Media Stocks in Focus: Icahn Slims Netflix Stake, The New York Times Co.’s Globe Sale, Imax’s Big Agreement
Netflix Inc. (NASDAQ:NFLX): Netflix shares are trading up slightly, even after Carl Icahn announced that he has reduced his stake in the online streaming company to 4.52 percent, a 50 percent or so cut in his position. ”I have learned that when you are lucky and/or smart enough to have made a total return of 457 [percent] in only 14 months it is time to take some of the chips off the table,” Icahn said. However, the House of Icahn still sees Netflix as being reasonably priced, with considerable room for growth.
The New York Times Co. (NYSE:NYT): The New York Times Co.’s sale of the Boston Globe and Worcester Telegram & Gazette has been put on hold by a Massachusetts judge, as it could potentially complicate a pending class action lawsuit, court documents show. Boston Red Sox owner John Henry, who is supposedly shelling out $70 million for the two papers, was supposed to sign off on the deal on Friday; the deal will remain blocked unless The New York Times Co. agrees to become a defendant in the class action suit against the Telegram & Gazette and sets aside at least $60 million to cover potential liability, Reuters reports.
Imax Corp. (NASDAQ:IMAX): Imax has announced a plan in conjunction with Carmike Cinemas (NASDAQ:CKEC) that will see a revenue split at 10 new Imax theaters to be built at existing Carmike multiplexes. Inclusive of Wednesday’s agreement, Carmike will oversee 18 Imax locations; exact financial data were not offered.