By Lisa Baertlein
NEW YORK (Reuters) - Media companies News Corp. (NWSa.N: Quote, Profile, Research, Stock Buzz), Comcast Corp. (CMCSA.O: Quote, Profile, Research, Stock Buzz) and Walt Disney Co. (DIS.N: Quote, Profile, Research, Stock Buzz) are poised for growth next year, Merrill Lynch analyst Jessica Reif Cohen said on Monday.
"2007 will be a good year for many of these stocks. Whether it's a great year largely depends on their growth characteristics," Cohen said at the Reuters Media Summit in New York.
"Our favorite names are News Corp. and Comcast -- that's one and two. The third varies depending on what day it is. I think Disney's got a new lease on life," she said.
Cohen ticked off a variety reasons why she believes those companies are in a position to thrive next year -- from smart Internet acquisitions to new and rejuvenated management.
Rupert Murdoch's News Corp., which last year bought popular social network site MySpace.com for $580 million, has done a "brilliant" job of using its properties and brands to reach more customers in the United States and abroad, Cohen said.
"MySpace is another distribution vehicle for them," she said, adding that it would not be surprising to see television and content from the media giant's Fox television and movie studios on MySpace.
Despite its size, Cohen said News Corp. has been performing like a smaller, entrepreneurial organization: "It is the most nimble of all the diversified media companies."
Cohen has a $27 price target on News Corp. That does not include any contribution from Fox Interactive Media, which is largely made up of MySpace. Continued...
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