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Shares of Consumer Staple Firms Rising; Scripps Near All-Time High With Discovery Said to be Considering Buyout

By: MT Newswires
Posted: 12/11/2013 2:10:00 PM
Referenced Stocks: CMCSA;DIS;DISCA;FOX;SNI

Top Consumer Stocks

WMT +0.52%

MCD +0.01%

DIS -0.83%

CVS +0.49%

KO +1.14%

Consumer stocks are mixed this afternoon, with shares of consumer staples companies in the S&P 500 rising nearly 0.5% while shares of consumer discretionary firms in the S&P 500 are down about 0.6%.

In company news, Scripps Networks Interactive Inc. ( SNI ) is up nearly 7% this afternoon, among the top consumer-sector stocks in the S&P 500, following reports the cable-television programmer may be a takeover target of rival Discovery Communications ( DISCA ).

According to Variety, citing a person who was at the meeting, the DISCA board on Tuesday discussed potential acquisitions it could pursue, including a possible bid for the owner of the popular Food Network, the Travel Channel and HGTV. Representatives of both companies did not respond to Variety's requests for comment.

SNI shares recently traded at $80.22 apiece, climbing to an all-time high of $81.27 earlier.

SNI is no stranger to takeover speculation, with NBCUniversal, now part of Comcast ( CMCSA ), as well as Fox ( FOX ) and Disney ( DIS ) all said to have considered offers in recent years. DIS reportedly had been in advanced talks three years ago to acquire the cable programmer until then-board member Steve Jobs lobbied against a deal - with one-time Apple (AAPL) impresario said to having a lack of faith in the future of linear channels.

In other sector news,

(+) SWHC, (+3.7%) Q2 EPS of $0.28 beats by $0.07 per share. Revenue climbs 2.0% year over year to $139.3 mln, topping consensus view by $1.13 mln. Guides Q3 EPS, revenue above Street, beating forecasts by at least $0.02 a share and $4.79 mln, respectively.

(-) ALSN, (-5.1%) Announced the sale of 12.5 mln shares of its common stock by investment funds affiliated with The Carlyle Group (CG) and Onex Corp. (OCX.TO). The transmission-repair chain did not receive any offering proceeds.