Wunderlich Publishes Report on Time Warner Cable Inc.

Wunderlich Securities has published a report on Time Warner Cable Inc. TWC. According to the report, meetings in Denver last week with TWC management provided better clarity on the evolving distribution playing field. “We still regard competition from Verizon (VZ-NR) and AT&T (T-NR) as larger issues than OTT, as long as Virtual MSOs are subject to a comparable $28+ monthly dollar content cost regimen. The advent of simulcast IP streaming, web-based guides, and even smart TVs with set-top displacement, should all work to redress cable's brand equity relative to alternatives. We are maintaining our $75 S&P linked valuation target with a positive bias. Our FiOS/U-Verse and OTT cord cutting/household formation matrices are within this note.” Time Warner Cable Inc. closed yesterday at $71.89.