An announcement that Hosni Mubarak had resigned as President of Egypt, putting the army in charge, was greeted with relief on Wall Street. Stock prices were generally higher in Friday’s trading and nearly all broadcasting stocks were trading higher.
In television issues, every company that wasn’t associated with a newspaper group was up at 2:00 pm. Strangely, Media General, which does own newspapers as well as TV stations, was the biggest gainer, up over 10% in trading. Nexstar, a pure-play TV group, was up 7.5%.
In radio, nearly all stocks were higher. Tiny Debut Broadcasting was up nearly 14%. Emmis was up 3.8% and Cumulus 2.7%.
If you’ve been following this week’s stock trading saga involving Bob Sillerman’s new company, Gateway Industries has finally ended its meteoric rise. The stock was down 30% from Thursday’s close. However, that still put it above $3 per share – quite a leap from Monday’s closing price of a single penny. What does this have to do with broadcasting? Sillerman has previously owned radio companies and headed the company that owns “American Idol.” But he hasn’t yet disclosed what he plans to do with the shell company he bought control of in an announcement made Tuesday.