CBS looks strong going forward

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Anthony DeclementeBarclays Capital analyst Anthony DiClemente had a few comments to make about the prospects for CBS after hearing its CFO Joe Ianniello at its Global TMT conference. In a word, things look good for the Eye Network.


For starters, he noted that CBS expects to be the upfront winner, which he said is in line with his own company’s guidance of 10% growth in CPM for its primetime availabilities. It is also looking forward to a gangbusters Q1, with the Super Bowl, the AFC Championship Game and the Grammy Awards all on the network within a four-week span.

Syndication is said to be good for $1B in revenue and will get a shot in the arm with the introduction of The Good Wife and NCIS: Los Angeles into its menu of offerings. The dollar total takes international sales into account.

Deals with the likes of Netflix are expected to help grow CBS digital distribution.

Gains are expected to continue in two areas: reverse compensation at the network level and retransmission consent fees at the station level. It is expected that the company will be able to beat its earlier prediction of $225M in reverse compensation fees.

Finally, it is expected that the company will continue to invest in its own stock on the open market.