JP Morgan Warns Investors to Bet Against NFL Channel CBS Over Continued Anthem Protests
This has been a disastrous week for the NFL.
After kneeling to the national anthem in London and at several football games American viewers had finally seen enough.
Advertisers and viewers vowed to boycott the league this week.
This morning Morning Consult released data that shows the NFL’s favorability rating was cut in half in one week.
JP Morgan warned investors to bet against CBS over the continued NFL anthem protests.
CBS is the NFL channel.
FOX Business Netowrk reported:
A top Wall Street firm urged investors this week to bet against CBS, one of the NFL’s key television partners, amid ongoing clashes between the league and President Trump over national anthem protests.
JPMorgan Chase analyst Shawn Quigg suggested in a research note that investors buy stock puts on CBS, which would allow the sale of CBS shares at $57.50 if the company’s stock price sinks due to declining NFL television ratings. NFL viewership is down 11% overall this season compared to last year, according to Nielsen.
“NFL-related revenue is not trivial to CBS, and any decline in NFL viewership related to the national anthem debate may negatively affect future results. We view this weekend’s viewership results as likely a cleaner proxy in determining whether the Anthem debate may be a larger issue for the NFL, and CBS, or not,” Quigg wrote.