Topic: Growth Stocks

Wall Street Stock Forecaster Hotline – Friday, May 17, 2013

Article Excerpt

Please note: The next issue of Wall Street Stock Forecaster will be sent out on Friday, May 31, 2013. SONY CORP. ADRs, $20.34, New York symbol SNE, jumped 14% this week after Dan Loeb, an activist investor who owns 6.3% of Sony’s shares, announced a plan aimed at unlocking some of the company’s value. Loeb is the same investor who pressed Yahoo! Inc. (Nasdaq symbol YHOO) to replace its chief executive officer with Marissa Mayer, a former vice-president at Google (see below). Loeb’s plan involves sell 15% to 20% of Sony’s entertainment division through an initial public offering. This division, which makes movies, television programs and music recordings, supplied just 17% of Sony’s revenue in the fiscal year ended March 31, 2013. But due to large losses at Sony’s TV and cellphone divisions, the entertainment business accounted for a high 45% of the company’s earnings. Loeb also wants Sony to sell its 60% stake in publicly traded Sony Financial Holdings Inc., which sells…