Are cable-TV stocks the place to make money in the year ahead? The Value Line Investment Survey thinks so. Cable TV ranks first for expected price appreciation among 98 groups tracked by the 80-year-old weekly stock-picking service.
Value Line says despite tough economic times, the group “remains a pretty good defensive play,” and many companies in it are consistent cash generators. For now, that trumps the worries over increasing competition in content delivery. Cable has held the top slot in Value Line’s rankings since Dec. 3. The research company’s cable category includes both cable and satellite operators.
Other showbiz sectors won’t do as well in the coming 12 months, in Value Line’s estimation. Entertainment, a diverse group that ranges from Belo Corp. to World Wrestling Entertainment, ranks 19th, while entertainment technology is near the bottom of the heap at 95th.
Rankings are as of Nov. 4.