NEW YORK (TheStreet) -- Shares of Discovery Communications Inc. (DISCA) are down 3.11% to $32.28 after the operator of cable TV channels such as TLC and Animal Planet ,was downgraded to "neutral" from "buy" at Sterne Agee this morning.
Analysts at the firm said they no longer think the company's U.S. operating trends will rebound in the fourth quarter.
Also, Discovery had its price target lowered to $38 from $96 by analysts at RBC Capital after the company reported lower than expected third quarter revenue yesterday.
RBC Capital thinks the company's domestic ad growth trends remain soft, but it is still upbeat on the longer term outlook of the company's international operations and maintained its "outperform" rating based on valuation.
The Silver Spring, MD-based media and entertainment company reported third quarter earnings of 46 cents per diluted share, 5 cents better than analysts' estimates.
Revenue for the quarter was $1.57 billion, short of analysts' expectations of $1.59 billion.
Separately, TheStreet Ratings team rates DISCOVERY COMMUNICATIONS INC as a Buy with a ratings score of B-.
- You can view the full analysis from the report here: DISCA Ratings Report