The TPSI Global Consumer Media lost -0.8 percent last week, as disappointing results from Publicis overshadowed positive earnings reports from Snap and the New York Times. The Dow Jones Industrials ended week 6 up 0.2 percent. Electronic Arts benefitted from the success of its new title Apex Legends, despite weak results, whereas other games manufacturers were hit by the ongoing success of Epic Games' Fortnite.
The year-to-date performance of our index is +10.1 percent, outperforming the Dow's +7.6%.
Publicis and Fortnite
The Publicis (share price down 13% in week 6) weak quarterly results were felt widely in the mediasector, not just among its peers WPP (-8.5%) and Dentsu (-6.6%), but also among several broadcasters, including Mediaset (-9.2%), Atresmedia (-6.8%), ProSieben (-6.5%) and RTL (-6.3%).
Amid the uproar around the hottest games today, Fortnite (Epic Games) and Apex Legends (EA), gaming companies ended the week down, especially Take-Two (-7.4%) and Activision Blizzard (-5.7%). With Apex legends, Electronic Arts (+7.0%) may have found a viable alternative to Fortnite from Epic Games (unlisted, 40% owned by Tencent).
Q4 reports
More companies reported Q4 results, by segment:
- Adverstising: Alphabet (-1.4%), Publicis (-13%)
- Music: Spotify (-1.8%)
- Social networking: Twitter (-9.6%), IAC (+2.3%), Snap (+32%)
- Broadcasting: Viacom (-1.2%), Walt Disney (+0.2%), 21st Century Fox (+0.5%)
- Publishing: Modern Times Group (-4.0%), Sanoma (+4.5%), New York Times (+19%)
- Games: Electronic Arts (+7.0%)
Last week we said goodbye to Pandora, after its takeover by Sirius XM (-0.8%) was finalised. Our index now has 64 constituents. 21st Century Fox (+0.5%) announced that it will change its name to Fox Entertainment, once the sale of certain assets to Walt Disney closes. Modern Times Group will, at around the same time over the next few weeks, be split in two companies: MTG and NENT Group (Nordic Entertainment).
