Time Warner Inc (TWX) and Twenty-First Century Fox Inc (FOX): Gabelli Is Bullish On Content

Mario Gabelli, the chairman and CEO of GAMCO Investors, has only good words about Time Warner Inc (NYSE:TWX) and Twenty-First Century Fox Inc (NASDAQ:FOX), even if the takeover deal between the two has not materialized. In a video segment on CNBC, the asset manager has said that both companies are on track to bring excellent shareholder value over the next five years, with the stock doubling its price. According to Gabelli, Time Warner Inc (NYSE:TWX), which currently trades at around $72 per share, will be worth $130 per share, while Twenty-First Century Fox Inc (NASDAQ:FOX) stock will jump to $65, from the current price of $33-a-share, in the next five years.

“I think the investors will do quite well owning both,” said Gabelli.

Mario Gabelli

GAMCO Investors, the value hedge fund Gabelli founded in 1986, owns 11 million shares of Twenty-First Century Fox and 2.5 million shares in Time Warner Inc (NYSE:TWX).  The dollar value of Twenty-First Century Fox Inc (NASDAQ:FOX) stake is $363 million, which is almost double compared to the Time Warner Inc (NYSE:TWX) stake of $177 million.

Gabelli indicated that he is more bullish on Twenty-First Century Fox Inc (NASDAQ:FOX), which may have brighter prospects.

Twenty-First Century Fox Inc (NASDAQ:FOX) has put forward and then removed a proposal to buy Time Warner Inc (NYSE:TWX) for $80 billion, following the target board’s refusal to discuss the deal. Gabelli has said that he is “neutral” on the acquisition, indicating, however, that a raise of the bid to $100 per share would have been too much. If it were to happen, the deal could have brought additional value to shareholders through synergies, suggested Gabelli.

“[...] The vision of the future is simple. [...] The rising middle-class in India and China, and you go anywhere in the world and you see, they go with the smartphones, the mobility, they want content, and having both [companies] put together with the right synergies,” could have made the merger work, said Gabelli.

Disclosure: None

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

The 10 Longest Wars of All Time

The 13 Worst Looking Foods that Taste Great

The 6 Most Gruesome Injuries Suffered During a Sports Match

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!