Other media are expected to get a big earnings boost as election year ad spending eclipses new records, driven by new campaign fundraising records and super PAC spending.
Bernstein Research recently highlighted a second half earnings boost to Comcast (CMCSA), Time Warner Cable (TWC), Charter Communications (CHTR) and Cablevision (CVC) because cable networks are better positioned to distribute targeted TV ads to users in swing states. Meanwhile, Moody's highlights local media like Gray Television (GTN) and Media General (MEG) as highly levered to 2012 elections.
Carl Salas, a media and entertainment ratings analyst with Moody's, highlights campaign spending as a key growth market relative to the overall ad market and highlights Web-based players like Facebook as growing faster than traditional broadcast media given a small base.
Still, Salas tempers expectations social media will make the ads dominating airtime in swing states irrelevant anytime soon. "We are seeing market share being taken away
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