DirecTV Shares Could Rise More Than 50 Pct - Barron’s
DirecTV Shares Could Rise More Than 50 Pct - Barron’s
Shares of satellite television provider DirecTV Group Inc. could rise more than 50 percent within the next year, a Wall Street analyst told Barron’s newspaper.
DirecTV could prove to be a cheap investment in pay-television if it increases its cash flow at rates expected by analysts, the paper said, citing growth targets from Banc of America Securities analyst Douglas Shapiro.
Shapiro said he expects the stock to increase to $22 a share in 12 months from its Friday close of $14.51. Barron’s said Shapiro expects DirecTV to generate $300 million of free cash in 2005 and to increase cash flow at a compounded annual rate of 20 percent through 2010.