Home and Garden Television (HGTV), a wholly owned subsidiary of
Scripps Network Interactive Inc. ( SNI ), has formed a
multi-year partnership with interactive channel retailer
HSN Inc. ( HSNI ). This will
bring a show - HGTV HOME Outdoor Living- on HSN from Mar 19, 2013.
The new cross brand initiative will showcase HGTV's outdoor
products on HSN's outdoor living category. The products include
outdoor equipment, plants, lighting, garden tools, water
accessories and other outdoor solutions.
The partnership will include original content that will be
available online and on air. Additionally, a celebrity designer of
HGTV, will advice the HSN viewers on outdoor lifestyle products,
which will include HGTV Home's branded items.
HSN, which will benefit from HGTV's innovative contents and
great products, intends to expand the HGTV HOME Outdoor Living
branded products within additional categories. The two companies
also plan to collaborate in the future that will allow them to
share content across their digital platforms.
Home is one of the leaders in the programming category for SNI
and HGTV. The channel provides home enthusiasts with high-quality
products and home transformational videos that will allow them to
enhance home exterior.
HGTV reported a healthy financial report where revenues jumped
5.1% in the fourth quarter of 2012. However, declining viewership
remains a major concern for HGTV which accounts for a reduced
advertising revenue of SNI.
With spring round the corner, more number of people is expected
to resort to gardening, enhancing the audience base of the channel.
We believe, the partnership will lead to increased viewership of
HGTV, which in turn will improve the advertisement earning capacity
of the company.
SNI currently carries a Zacks Rank #3 (Hold).
Other Stocks to Consider
Some other stocks in the Lifestyle Media space are
Nexstar Broadcasting Group ( NXST ) and
Liberty Global Inc. ( LBTYA ). Both
Nexstar and Liberty currently has a Zacks Rank #2 (Buy).HSN INC (HSNI): Free Stock Analysis ReportLIBERTY GLBL-A (LBTYA): Free Stock Analysis
ReportNEXSTAR BRDCSTG (NXST): Free Stock Analysis
ReportSCRIPPS NETWRKS (SNI): Free Stock Analysis
ReportTo read this article on Zacks.com click here.Zacks Investment