Business

Combined Market Cap of World`s Top Media Companies Surged by $330B YoY

Published

3 years ago

April 28, 2021

The year 2020 was quite a year for the world’s largest media companies, with millions of people choosing their services amid the lockdown. This COVID-19-fuelled surge in the number of users led to the impressive growth of their revenues and market capitalization.

According to data presented by StockApps.com, the combined market cap of Walt Disney, Comcast Corp, Netflix, AT&T, and Charter Communications, as the five largest media companies globally, surged by $330bn year-over-year.

Walt Disney`s Market Cap Jumped by 85% YoY, the Biggest Increase Among the Top Five Companies

The media industry covers various areas, from advertising, broadcasting, and networking, to news, digital, recording, and motion pictures. Media companies operate within these areas and offer products and services to end-users from individuals to large organizations.

As the world’s largest media company, Walt Disney has a massive share in this market. Besides its media networks, parks and resorts, studio entertainment, and online and mobile games, the media giant has also grown its Disney Plus subscriber count to nearly 95 million as of March 2021, a 258% increase year-over-year.

The YCharts data revealed that Walt Disney also witnessed the most significant market cap increase among the top five media companies. In April 2020, the combined value of its shares stood at $179.8bn. By the end of the year, this figure jumped to $309bn and continued rising. Statistics show that in March, Disney’s market cap peaked at $350bn and then slipped to $332bn last week. Nevertheless, this still represents an 85% increase year-over-year.

The market cap of Comcast Corp, the second-largest media company globally, jumped by 52% in the same period, rising from $163bn in April 2020 to $248bn last week.

Established in 1963, the Philadelphia-based global media, entertainment, and communications company runs its business through several segments. Besides its cable networks, filmed entertainment, and broadcast television, including Telemundo and NBC, Comcast Corp also owns British media and telecommunication conglomerate Sky Group Limited.

As the third-largest media company on this list, AT&T hit $225.6bn in market cap last week, a 15% increase year-over-year. In April 2020, the combined value of shares of the US media giant stood at $210.2bn. Statistics show this figure rose by more than $15bn over the last twelve months.

Netflix`s Market Cap Up by $38B Since April 2020

Over the last decade, Netflix has exploded onto the media scene. The world’s fourth-largest media company transformed from a DVD-by-mail business into a streaming giant with 207 million subscribers as of March, almost 25% more than before the pandemic.

The YCharts data revealed that in April 2020, Netflix’s market cap amounted to $185.3bn. By the end of the last year, the combined value of shares of the streaming giant jumped by 25% to $233bn. Although this figure slipped to $223.2bn last week, it still represents almost a $38bn increase in a year.

Statistics show Charter Communications, as the fifth largest media company globally, witnessed a 38% market cap increase in the last year, with the figure rising from $102.4bn in April 2020 to $141.1bn last week.

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Samed Olukoya

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Company News

Flour Mills of Nigeria Repays N51.64 Billion Series 2 Commercial Paper

Published

2 days ago

December 7, 2023

Investors King

Flour Mills of Nigeria Plc (FMN) has successfully repaid its N51.64 billion Series 2 Commercial Paper as revealed in a statement issued by the company.

This follows the earlier repayment of its N13.33 billion Series 1 Commercial Paper in August 2023.

Both the Series 1 and Series 2 Commercial Papers, totaling N64.97 billion, were initially issued on February 22, 2023, under FMN’s N200 billion Commercial Paper Programme.

The Series 1, with a yield of 13.0%, raised N13.3 billion, while the Series 2, with a yield of 14.0%, raised N51.64 billion.

FMN had launched its N200 billion Commercial Paper Programme on February 10, 2023, reflecting the company’s strategic financial planning.

The Group Chief Finance Officer, Mr. Anders Kristiansson, expressed satisfaction with the timely and successful repayment of the Series 2 Commercial Paper.

He emphasized FMN’s commitment to financial prudence and acknowledged the confidence placed in the organization by the investing public.

Kristiansson expressed gratitude to stakeholders for their continuous support, reiterating FMN’s dedication to delivering sustainable value and upholding the highest standards of corporate governance.

In addition to the successful repayment, FMN tapped into the market for its Series 3 Commercial Paper in June 2023, with subscriptions from banks and Pension Fund Administrators, contributing 39.7% and 40.8%, respectively.

The transaction was managed by FBNQuest Merchant Bank Limited as the Lead Arranger, with ChapelHill Denham Advisory Limited, FCMB Capital Limited, and United Capital PLC serving as Joint Arrangers.

Business

African Airlines Projected to Cut Losses to $400m in 2024, Says IATA

Published

2 days ago

December 7, 2023

Investors King

The International Air Transport Association (IATA) has forecasted a reduction in losses for Nigerian and other African airlines from $500 million in 2023 to $400 million in 2024.

The Switzerland-based IATA made this projection while presenting the global airline industry outlook in Geneva, Switzerland, on Wednesday.

IATA’s Director-General, Willie Walsh, shared the outlook, stating that global airlines are expected to generate approximately $964 billion in revenue in the coming year.

The report indicated that airline industry net profits are anticipated to reach $25.7 billion in 2024, reflecting a slight improvement over the projected $23.3 billion net profit for 2023.

Despite the challenges faced by the aviation industry in recent years, IATA sees the $25.7 billion net profit in 2024 as a testament to aviation’s resilience.

Walsh acknowledged the impressive speed of recovery but emphasized that the net profit margin of 2.7% remains below industry expectations.

IATA estimates that around 4.7 billion people will travel in 2024, surpassing the pre-pandemic level of 4.5 billion recorded in 2019.

However, Walsh highlighted ongoing challenges, including regulatory burdens, fragmentation, high infrastructure costs, and a supply chain populated with uncertainties.

He emphasized the need for the industry to build a resilient future, given its significant contribution to global GDP and livelihoods.

Fuel prices are expected to average $113.8 per barrel in 2024, accounting for 31% of all operating costs, totaling $281 billion.

Walsh concluded by expressing optimism about more normal growth patterns for both passenger and cargo in the post-pandemic era.

Company News

SpaceX Explores $175 Billion Valuation in Insider Share Sale Talks

Published

2 days ago

December 7, 2023

Investors King

Elon Musk’s SpaceX is reportedly in discussions about initiating a tender offer that values the aerospace manufacturer and space transportation company at $175 billion or more.

According to insiders familiar with the matter, the most valuable US startup is contemplating a tender offer ranging between $500 million and $750 million.

Sources suggest that SpaceX is evaluating the possibility of offering shares at approximately $95 per share, with the terms and size of the tender offer subject to change based on the level of interest from potential insider sellers and buyers.

If the $175 billion valuation is realized, it would mark a notable increase from the $150 billion valuation obtained through a tender offer earlier this summer.

This elevated valuation would position SpaceX among the world’s 75 largest companies by market capitalization, comparable to industry giants such as T-Mobile USA Inc., Nike Inc., and China Mobile.

SpaceX, known formally as Space Exploration Technologies Corp., dominates the commercial space launch services market with its Falcon rockets and operates the Starlink service, which provides internet from space via a growing constellation of satellites in low-Earth orbit.

With anticipated revenues of about $9 billion in 2023, projected to rise to approximately $15 billion in 2024, SpaceX’s strategic moves, including a potential initial public offering for Starlink, underscore the company’s ambitious plans and strong market position.

Representatives for SpaceX have not yet responded to requests for comment on these recent developments.