Market Overview

Verizon Going After Disney? Maybe.

Verizon Going After Disney? Maybe.

It’s certainly not impossible that Verizon Communications Inc. (NYSE: VZ) is considering acquiring Walt Disney Co (NYSE: DIS). But if this New York Post rumor plays out at all like the others, the deal is not likely.

Since Verizon’s purchase of Yahoo, which now trades under Altaba Inc (NASDAQ: AABA), the Post has reported bids on Twitter Inc (NYSE: TWTR), Time Inc (NYSE: TIME), Charter Communications, Inc. (NASDAQ: CHTR) and Pandora Media Inc (NYSE: P).

None have thus far transpired as suggested.

Still, Disney shares rocketed 2 percent on the latest Post report, possibly because the speculation is not entirely unjustified. Verizon has proven thirsty for content with its recent absorption of Yahoo News, AOL News, Huffington Post and TechCrunch. The firm consolidated its latest media assets under its new digital unit, Oath.

Meanwhile, it maintains a positive relationship with Disney’s ESPN, for which it reorganized subscription packages last February.

Disney has also been the subject of numerous takeover rumors — both as the buyer and seller. Some anticipate its targeting of Twitter or Netflix, Inc. (NASDAQ: NFLX), while others foresee a buyout by Apple Inc. (NASDAQ: AAPL).

One Credit Suisse analyst recently identified great opportunity in Disney’s direct-to-consumer strategy, which may be of interest to Verizon.

“We believe the company has substantial opportunities to build a business of scale over the next two to three years, leveraging its wholly-owned and licensed IP in movies, entertainment and sports, which could both exploit demand for under-monetized content and open up new opportunities for targeted advertising,” Omar Sheikh
wrote in a May note.


Related Links:

Massive Media Layoffs Begin As Verizon Juggles HuffPost, AOL, Yahoo

Verizon Deal Delay: What Does It Mean For Yahoo, Alibaba Investors?

What Do Tesla, Netflix And Disney Have In Common? There’s Talk Apple Could Buy Any One Of Them

Posted-In: AOL News Credit Suisse ESPN New York PostM&A News Rumors Media Best of Benzinga


Related Articles (AAPL + AABA)

View Comments and Join the Discussion!
Fastest Market News Application
You'll Hear It First On Pro
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

Tesla: Why Short Sellers Won't Recoup Their Losses

10 Biggest Mid-Day Losers For Monday