Morningstar Magazine - October/November 2016 - 85

< Sector Snapshot: Media The data on this page represents media companies covered by Morningstar analysts. Industry Structure Moat Breakdown* Key Stats Media % S&P 500 % 28.6 24.2 Wide Moat Industry Map Aggregates Media Number of Companies S&P 500 14 25840.0015 19802.0010 Narrow Moat 42.9 42.8 Total Market Cap $mil 373,102 20,521,380 No Moat 28.6 19.6 Total Fair Value $mil 495,499 19,959,366 Total Revenue $mil Stock Type Breakdown Media % 13764.0005 25840.0015 19802.0010 186,488 10,683,947 Media S&P 500 13764.0005 S&P 500 % 5234.6003 3989.4002 7.3 Valuation Distressed 0.0 2.8 Price/Fair Value Hard Asset 0.0 0.0 P/E Cyclical 0.0 41.8 Price/Book 2.95 3.14 Slow Growth 35.7 17.6 Price/Sales 1.80 2.33 Classic Growth 14.3 6.9 Price/CF 12.37 13.33 7.1 5.5 Dividend Yield % 3.01 2.15 0.0 2.6 35.7 0.0 Profitability & Financial Health Media S&P 500 ROE % 16.76 14.08 ROA % 6.20 4.93 Not Classified *Based on Morningstar analyst coverage. Medium 7726.0000 6479.8004 7.1 Speculative Growth Large 7726.0000 31878.0020 High Yield Aggressive Growth Market Cap 505 31878.0020 2744.2001 1499.0000 1498.0 0.75 636.4 15.44 Small 1282.6 1067.2 851.8 421.0 1.03 22.40 Net Margin % 12.30 9.53 Debt/Capital % 58.55 43.25 Undervalued Overvalued 0 0.5 Price/Fair Value 1 2 1.5 Media firms are plotted based on their market cap and price/fair value ratio. Companies with a price/fair value ratio of less than 1 are undervalued. Companies with a ratio of more than 1 are overvalued. Numbered plots show companies listed in the table below. 0.0 0.5 1.0 2.0 1.5 Media Name/Ticker Market Cap ($mil) Revenue TTM ($mil) Price/ Sales Economic Moat Morningstar Uncertainty Rating Rating 151,485.36 56,002.00 2.80 Wide QQQQ Medium ProfitGrowth ability Grade Grade Financial Price/ Health Fair Dividend Grade Value Yield % X C Z 1 Walt Disney DIS 2 Time Warner TWX 60,796.15 27,903.00 2.27 Wide QQQ Medium C C 3 Twenty-First Century Fox Class B FOX 46,097.57 27,326.00 1.77 Wide QQQQ Medium 0.5 C Z 4 Twenty-First Century Fox Class A FOXA 45,706.44 27,326.00 1.75 Wide QQQQ Medium C Z 5 CBS Class B CBS 23,137.08 14,303.00 1.67 Narrow QQQ High X X 0.0 0.0 6 Viacom B VIAB 7 Discovery Communications Class A DISCA 15,775.01 13,050.00 1.23 Narrow QQQQ High 10,171.74 6,472.00 2.51 Narrow 0.5 C X X X 1.0 Z QQQQ High Z C 8 Discovery Communications C DISCK 9,878.74 6,472.00 2.44 Narrow QQQQ High Z C 9 AMC Networks A AMCX 3,872.72 2,702.53 1.48 Narrow QQQQ High X - 10 Imax IMAX 2,061.03 388.31 5.50 Narrow QQQ High 0.0 X 1.0 Price/ Earnings 0.70 1.51 16.93 0.92 1.99 15.74 0.71 1.21 17.50 0.70 1.22 17.28 0.88 1.15 15.14 1.5 2.0 1.5 2.0 C 0.75 4.02 7.80 X 0.76 - 13.79 0.73 - 13.42 C 0.70 - 11.32 X C X 1.10 - 44.19 0.5 1.0 X 1.5 2.0 11 Event Hospitality and Entertainment EVT 1,820.77 1,211.45 2.00 None QQ Medium - - - 1.25 4.66 18.59 12 Seven West Media SWM 882.39 1,661.93 0.71 None QQQQ High - - - 0.78 14.74 6.39 13 Southern Cross Media Group SXL 870.91 632.99 1.83 None QQ High - - - 1.25 6.43 15.00 14 Village Roadshow VRL 546.14 1,037.28 0.72 None QQQQ Medium - - - 0.69 8.91 47.84 Data as of 08/31/2016. global.morningstar.com/Morningstarmagazine 85 http://global.morningstar.com/Morningstarmagazine

Table of Contents for the Digital Edition of Morningstar Magazine - October/November 2016