Why ViacomCBS Stock Crashed 10% Today
Shares of broadcaster (and over-the-top streamer) ViacomCBS (NASDAQ: VIAC) tumbled 10% through 11:45 a.m. EDT Wednesday after two separate analysts downgraded the stock within hours of each other.
First to downgrade ViacomCBS today was Australian investment bank Macquarie. StreetInsider.com reported today that Macquarie cut ViacomCBS stock to "underperform" with a $78 price target, but gave no further details on that move. But separately, BMO Capital downgraded the stock -- also to "underperform" -- and on this one we do have some detail.
As TheFly.com reports, BMO downgraded ViacomCBS on worries that the company's rebranded Paramount+ streaming service (which used to be known as CBS All Access) is set to face a double whammy of difficulties. On the one hand, the more vaccines roll out and the lower coronavirus infection numbers go, the less homebound consumers will be -- and the less television they are likely to watch.
Source Fool.com
