News Corporation (NWS) NewsBite - Downgrade Pulls Down NWS

Posted on Monday, July 07, 2008 2:22 PM

News Corp. (NWS) opened at 14.62. So far today, the stock has hit a low of 14.48 and a high of 14.90. NWS is now trading at 14.30, down 0.46 (-3.15%). The stock hit its 52 week high of 24.95 in October and set its 52 week low of 14.48 today. NWS has been moving downwards for the past year. Shares of News have been taking a hit after a Lehman Brothers analyst downgraded the stock to "Equal-Weight" from "Overweight" on worries about threats from digital content distribution and the company's exposure to the newspaper business. Technical indicators for the stock are bearish and steady while S&P gives NWS a positive 4 STARS (out of 5) buy rating. If you’re looking for a hedged play on this stock, consider an October bear-call credit spread above the $17.50 range. NWS stock could rise up to 22.4% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]