Two Giant Conglomerates Make One Messy Merger

In my Buy or Bye? series, I take a popular stock, strip away all the hype and let you know whether you should buy now, buy later or buy never.

Lately, streaming services have been making the financial headlines – but not for the best reasons.

Netflix (Nasdaq: NFLX) recently reported a loss in subscribers for the first time in 10 years and dropped an astounding 35% the next day…

And Disney (NYSE: DIS) lost the special district status of Disney World, which could force the company to pay far more in taxes to the state of Florida…

But no company has endured more bad press than the focus of today’s video: a newly merged streaming service that recently reported less-than-perfect first quarter financials.

Although this company is the product of two giant media conglomerates, its operating margins fell by a third to $1.3 billion.

CNBC called this situation messy…

However, the fate of this media platform remains in the hands of its CEO, David Zaslav – whom the Los Angeles Times described as a “relentless change agent.”

It seems he is already taking big steps to make up for first quarter losses by making even bigger promises.

Check out this headline from Variety…

And so the question remains…

Is it curtains for this streaming service? Or can its knight in shining armor keep this media company afloat post-merger?

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