UPDATE: Wunderlich Securities Upgrades Time Warner In Reaction To Possible Merger

Wunderlich Securities analyst Matthew Harrigan upgraded Time Warner Cable TWC from Hold to buy and raised the price target from $146 to $190.

This is a reaction to a possible merger with Comcast CMSCA.

Harrigan expects a possible deal between Charter or Cox and Time Warner if the Comcast merger falls through; however, Harrigan is uncertain of the compatibility of Time Warner and Charter or Cox. If the Comcast deal is denied, the analyst expects Time Warner to redo its technology road map similar to Comcast, with a possible upgrade to the X1 platform.

Related Link: Top Acquisitions Of Big Tech Companies

Harrigan believes that there is little motivation for the FCC not to allow the deal to go through. Aside from Comcast’s close relationship to Washington, the FCC should be motivated by “deal concessions that will determine de facto industry net neutrality/ broadband practices.”

Time Warner displayed no change in pre-market prices Monday.