The Dolan family is addicted to bidding to take the public company their pater familias founded private again. Cablevision (CVC)
Let them have it. They have bid $30 a share after trying to get it for $27. The offer is almost no premium above where the stock traded recently so the stock was knocked down almost 3% to $28.80.
The fact of the matter is, no one else wants the company. The median analyst price target for the shares works out to only $29 accordig to a First Call poll of 16 analysts.
Morningstar does not like the company any better. The rating agency has a "fair value" estimate of $25 on the stock. And says investors should consider selling at $30.20. They point to the fact that they company has a lot of debt and took on more to give shareholders a special dividend that totaled $3 billion.
Citigroup, Oppenheimer, and Janco all downgraded the stock late last year.
Good ridance.
Douglas A. McIntyre can be reached at [email protected]. He does not own securities in companies that he writes about.
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