Equities in the communications services sector made progress as a group for the week – repeating the high volatility in the broader market, which rose on Friday to put a bow on trade.
Communication shares rose 0.54% during the week, with winners led by some telecom names, while some stocks with higher growth momentum topped the decline list.
Vodafone 09.30 NASDAQ: VOD was the biggest winner as it is clearly at the heart of European tech consolidation. The stock rose 12.3% in US trading this week after M&A negotiations erupted last weekend over its UK unit (which could merge with CK Hutchison’s Three UK) and its Italian operation (which could be combined with the upstart Iliad).
Later in the week, Vodafone was linked with talks with Orange and Deutsche Telekom about merging their tower units. And on Friday, the report brought that the Swedish activist investor Cevian Capital had taken a shareholding in Vodafone.
T Mobile (NASDAQ: TMUS) was the second best winner, increases 6.9% during the week; it does not report earnings until next week, but won while rivals AT&T and Verizon coincided with their own earnings reports. It was only missing on Monday 5% gain to break what had been a series of losses in seven sessions.
And Fox stock classes (FOX, FOXA) and ViacomCBS (NASDAQ: MORE) made up the rest of the top winners. ViacomCBS (VIAC, VIACA) take advantage of the fact that KeyBanc became more bullish on Paramount + strength, as well as ticket success from Paramounts Scream.
Fox, meanwhile, started the week on a high note as UBS upgraded to Buy, pointing to several catalysts that could lead to upward EBITDA.
Roblox (NYSE: RBLX) was the week’s biggest drop in communications services among major stocks, decreasing 15.6% as it was captured by the ongoing sale of extensive growth games. The stock was also among top losers last week with another double-digit loss at the time.
Bilibili 09.30 NASDAQ: BILI faced its own downturn on Monday as it sold out with other Chinese technicians; that fell 15.4% for the week, a little better than Spotify (NYSE: SPOT), down 11.5% in a week where it was drawn into a high-profile fight with rock legend Neil Young over their Joe Rogan Experience podcast.
Sea Limited (NYSE: SE) fell 11.5 per cent. also for the week – also caught up in Monday’s round and fell after being pulled from Goldman Sachs’ list of convictions before joining the late Friday bounce.
Pinterest (NYSE: PINS) fell 8.9 per cent. for the week. Despite a Monday rally, it could not shake a Tuesday to forget where a report noted several director departures and it saw its price target cut down on UBS.
This week’s five biggest winners among major Communications Services stocks and larger (market value of $ 10 billion or more):
Vodafone (VOD), +12.3%T-Mobile (TMUS), +6.9%; Fox class A (NASDAQ: FOXA), +6.4%ViacomCBS Class B (VIAC), + 5.5%; Fox class B (NASDAQ: FOX), +5.4%.
The week’s five biggest falls among the major Communications Services stocks and larger (market value of $ 10 billion or more):
Roblox (RBLX), -15.6%; Bilibili (BILI), -15.4%Spotify (SPOT), -11.5%Sea Limited (SE), -11.5%Pinterest (PINS), -8.9%.