Among Goldman Sachs' media ratings initiations today (which included reinstating Disney at a Buy) was ViacomCBS (VIAC, VIACA), with an eye to where the company sits in a "whole new streaming world."
Like Disney, ViacomCBS is among the best positioned to replace declining linear video advertising with streaming revenues, and it's positioned better "than many investors likely expect," analyst Brett Feldman writes.
The market is currently assigning a zero value to CBS All Access, a business that generates nearly $2B in revenue, he notes.
And plans for a more aggressive streaming strategy in the coming year could be a catalyst to unlock $13-$17/share in value, he says.
He's set a price target of $34 on VIAC, implying 43% upside from today's close.
