UPDATE: Nomura Initiates Coverage on Scripps Networks Interactive

In a report published Wednesday, Nomura analyst Anthony DiClemente initiated coverage on

with a Neutral rating, establishing a $85.00 price target. According to the report, SNI benefits from a well-managed collection of lifestyle genre brands – TV brands which clearly have fundamental strategic value. “However, we see modest risk of a 2014 deceleration in both advertising growth and affiliate fee growth for the Lifestyle segment,” the report noted. “As such, investors may find a better entry point ahead of 2016-17 affiliate renewals, but we believe SNI shares are already appropriately valued.” SNI closed Tuesday at $76.20.