ITV PLC (LSE:ITV) PLC’s shares traded sideways after a Deutsche Bank upgrade to ‘buy’ in the wake of the broadcaster’s annual results.
The note itself was fairly downbeat as it said the European media market was facing a number of challenges, including a need to invest, a battle of eyeballs and a fall in advertising spend.
To add to the pain, the legacy broadcasters are now seeing competition for their share of ad revenues from streaming services such as Netflix and Amazon, which have joined the fray.
On ITV, Deutsche Bank said: “We turn more positive, macro risks aside. We believe its streaming strategy appears to be the most appropriate in the current environment and the investment needs appear to be well-managed.”
In early afternoon trade, the stock was changing hands for 87.78p. The consensus price target is 93p.