Dreamworks Animation Skg Inc (DWA), Comcast Corporation (CMCSA): Is This an Investor’s Dream Stock?

Analysts expect Viacom, Inc. (NASDAQ:VIAB) to see increases in digital licensing revenue and retransmission fees. Looking at the bigger picture, Viacom’s revenue declined last year. And on average, analysts expect a slight revenue decline for FY2013. On the other hand, the company’s earnings have improved for two consecutive years and analysts expect it to improve again, to $4.69, for the year. Viacom recently saw third-quarter net income jump 20%, and it increased its share buyback program to $20 billion from $10 billion.

The biggest threat to Dreamworks Animation Skg Inc (NASDAQ:DWA) is consecutive misses at the box office. For Comcast Corporation (NASDAQ:CMCSA) and Viacom, Inc. (NASDAQ:VIAB), a decline in the advertising market is the biggest threat. If the economy sours, advertisers will back off quickly.

Conclusion

Whether or not the shorts are correct on Dreamworks Animation Skg Inc (NASDAQ:DWA) is debatable. Ironically, since the stock is so volatile over the long haul based on content performance, both longs and shorts will eventually be correct at various points. It simply depends on the timing.

Viacom, Inc. (NASDAQ:VIAB) is a well-run company that owns some of the largest and most popular television brands in the world. This stock should be a quality long-term investment.

Comcast Corporation (NASDAQ:CMCSA) is the most diversified and consistent company of the three. This stock is likely to offer the best long-term return.

Dan Moskowitz has no position in any stocks mentioned. The Motley Fool recommends DreamWorks Animation.

The article Is This an Investor’s Dream Stock? originally appeared on Fool.com.

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