Cable and Satellite Shareholders: Here’s the Big Threat

The number of households with traditional TVs could fall from its current standing of 83% as a new group known as “cord nevers” — new, mostly-young homeowners who have never had traditional TV service —  joins the “cord cutters” phenomenon, says Bloomberg. According to Credit Suisse, only 17% of the 1.8M new households formed last year signed up for cable or satellite services.

If the trend continues, TV-related stocks will get beaten down:

Charter Communications, Inc. (NASDAQ:CHTR): CHTR shares recently traded at $52.97, up $0.93, or 1.79%. They have traded in a 52-week range of $35.35 to $61.15. Volume today was 268,864 shares versus a 3-month average volume of 366,205 shares. The company’s trailing earnings are $-3.48 per share.

Comcast Corporation (NASDAQ:CMCSA): CMCSA shares recently traded at $23.19, up $0.04, or 0.17%. They have traded in a 52-week range of $19.19 to $27.16. Volume today was 20,503,296 shares versus a 3-month average volume of 19,772,800 shares. The company’s trailing P/E is 16.68, while trailing earnings are $1.39 per share.

Time Warner Cable Inc. (NYSE:TWC): TWC shares recently traded at $62.68, down $0.03, or 0.05%. They have traded in a 52-week range of $57.15 to $80.86. Volume today was 1,929,819 shares versus a 3-month average volume of 2,828,650 shares. The company’s trailing P/E is 14.48, while trailing earnings are $4.33 per share.

DIRECTV (NASDAQ:DTV): DTV shares recently traded at $47.20, up $0.25, or 0.53%. They have traded in a 52-week range of $39.12 to $53.40. Volume today was 5,208,490 shares versus a 3-month average volume of 6,722,110 shares. The company’s trailing P/E is 14.71, while trailing earnings are $3.21 per share.

Dish Network Corp. (NASDAQ:DISH): DISH shares recently traded at $26.90, down $0.47, or 1.72%. They have traded in a 52-week range of $17.95 to $32.56. Volume today was 4,306,315 shares versus a 3-month average volume of 3,677,200 shares. The company’s trailing P/E is 8.25, while trailing earnings are $3.26 per share.