This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Rupert Murdoch, Fox: Buy Madison Square Garden and N.Y. Yankees

It's easy to connect the dots.

However, I expect Murdoch -- if nothing else, he's a true maverick -- to push the envelope harder. He might go so far as to test regulatory waters.

He's no dummy. He sees what Rogers and Bell do in Canada -- the companies have a virtual monopoly on sports and entertainment throughout the nation -- and, while he knows that level of consolidation would never fly in a tight U.S. regulatory environment, News Corp can do more. It can build an empire to not only challenge, but knock off ESPN.

He did it in cable news with Fox, absolutely embarrassing CNN. Sports, it's ripe for the taking.

With that in mind, keep an eye on Madison Square Garden (MSG - Get Report). I covered the company's impressive regional holdings, which include the New York Knicks, the New York Rangers, the MSG family of cable networks and Madison Square Garden Arena here in Knicks Win, Rangers Lose: Either Way MSG Remains a Buy.

Since that article, the stock is up about 15% and MSG agreed to acquire the Forum, the venue where the Lakers and Kings used to play in Southern California.

George Steinbrenner is dead. You know what happens when the family takes over.

They let Rupert Murdoch in the door. He will take advantage of the opening just like I'm-not-tall,-but-I'm-not-small former New York Giants running back Joe Morris did when he saw gaping holes in defensive lines.

Step 1: Get in that door with a stake in YES.

Step 2: Go hard at MSG and spin off some of the assets -- maybe the Rangers -- that would create eventual regulatory headaches.

Step 3: Come back to the Steinbrenners and pitch the potential synergies inherent in having YES, MSG and the New York Yankees under the same roof with Fox's national and regional sports powerhouses.

It's a no-brainer.

Rocco Pendola is TheStreet's Director of Social Media. Pendola's daily contributions to TheStreet frequently appear on CNBC and at various top online properties, such as Forbes.
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
MSG $71.03 0.00%
NWSA $13.80 0.00%
AAPL $113.29 0.00%
FB $91.01 0.00%
GOOG $630.38 0.00%

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs