Time Warner, Viacom, Comcast, Disney Among The Top 10 Media Picks of the Hedge Fund Industry

Comcast Corporation (NASDAQ:CMCSA) came in at fourth with 44 filers, following a net increase of 4 filers. Comcast is one of the giants on our list with a near-$100 billion market cap. Investors can still find value in this media company that is expected to grow EPS at 15% annually while trading at only 17x earnings. Comcast was one of billionaire investor – and manager of Fisher Asset Management – Ken Fisher’s newest stock picks in 3Q (check out all of Fisher’s new picks).

The Walt Disney Company (NYSE:DIS) came in third with 47 filers, after a net increase of 6 filers owning the stock from 2Q. This international entertainment company is another giant in the industry with a $90 billion market cap. We see Disney offering significant value to investors at 16x trailing earnings, and it trades at an even more attractive 13x forward earnings. With the company’s recent purchase of the Star Wars franchise, Disney also has renewed opportunities for cross selling and sports the ability to establish a lasting relationship with the next generation of movie-lovers.

Liberty Media Corp (NASDAQ:LMCA) barely beat out Disney for second place with 48 filers. This media and entertainment company trades at the lowest P/E of our 10 media stocks at 8x. Liberty Media trades with a 2.0 beta, but is very close to taking a controlling stake of Sirius, which we believe is not being property accounted for in Liberty’s five-year expected growth.

News Corp (NASDAQ:NWSA) was the top media stock by far with 60 filers, following a net decrease of 7 filers – the largest decrease of all 10 of our stocks. We believe that News Corp is a solid value play that is expected to unlock value for shareholders in the near future with a spinoff of its TV operations. This media giant currently trades at a 22x trailing P/E, but only a 13x forward P/E. With a solid expected long-term growth rate of 14%, News Corp’s PEG ratio comes in near 1.0. Billionaire Louis Bacon of Moore Capital Management targeted News Corp as one of his bullish bets last quarter (check out Bacon’s newest buys).