Skip to main content

Media Firm Stock Declines in 2005

Hollywood Reporter laments traditional media's challenging year -- Media stocks should pick up the pace in 2006, many Wall Street analysts said. Considering their performance in 2005, though, it is an easy comparison.

Of the major entertainment conglomerates, only Sony Corp. is up for the year. The others have not only fallen but also underperformed -- by a large margin -- the broader indexes.

With one more trading day left this year, the newest publicly traded, high-profile movie company, DreamWorks Animation, for example, is off 34.2 percent. The company was dogged by such high expectations for DVD sales of "Shrek 2" that the merely stellar sales numbers resulted in a depressed stock and an informal investigation into the company by federal regulators. The stock has yet to recover.

Shares of the Walt Disney Co., Viacom Inc. and News Corp. are suffering more than 10 percent drops for the year, while Time Warner Inc. is off 9.6 percent. The Dow Jones industrial average is about flat.

For those who sought outsized profits in the entertainment sector this year, they would have done well to look to the Internet. Shares of Google Inc. have climbed 118 percent during the year and Netflix Inc. is up 121 percent, making the latter the best-performing issue on The Hollywood Reporter/Bloomberg 50 Entertainment Stock Index.

Popular posts from this blog

AI-Driven Data Center Liquid Cooling Demand

The rapid evolution of artificial intelligence (AI) and hyperscale cloud computing is fundamentally reshaping data center infrastructure, and liquid cooling is emerging as an indispensable solution. As traditional air-cooled systems reach their physical limits, the IT industry is under pressure to adopt more efficient thermal management strategies to meet growing demands, while complying with stringent environmental regulations. Liquid Cooling Market Development The latest ABI Research analysis reveals momentum in liquid cooling adoption. Installations are forecast to quadruple between 2023 and 2030. The market will reach $3.7 billion in value by the decade's end, with a CAGR of 22 percent. The urgency behind these numbers becomes clear when examining energy metrics: liquid cooling systems demonstrate 40 percent greater energy efficiency when compared to conventional air-cooling architectures, while simultaneously enabling ~300-500 percent increases in computational density per rac...