media stocks

Stocks in Media
This is one sector that is upcoming and on the roll. It is in the
initial stages of its movement. There is tremendous potential and room
for growth here. Mainly i am talking about companies creating and
distributing content for television, radio and films here.
According to FICCI-pricewaterhouse coopers report "frames 2007" Indian
Television industry is estimated to grow at a compound annual rate of
22 percent over the next five years. This translates into three fold
growth from the current Rs.19000 crore to Rs. 52000 crore
Along with this T.V. subscriber base and ad revenue is also slated to
grow arond 25 and 15 percent respectively.
Some of the players creating content and broadcasting are Balaji
Telefilms, UTV, BAG films, midi tech, cine vista. Now the idea is to
pick up the winners in this segment and my personal bets are Balaji
Telefilms and BAG Films.
Balaji has established itself as a leader in providing content to all
major broadcasters in Hindi. It provides content not only to Hindi but
also to Kannada and Tamil channels as well.
Bag Films is on the move and one stock that can really give fantastic returns. This company is into creating TV serials and also has license for FM broadcasting for about 10 stations. India bulls founder Sameer Gehlot has a stake in the company. As per SEBI guidelines he has made the compulsory follow up open offer (mandatory for anyone who acquires 20% stake in a company). Since he does not want to acquire the company he has made the open offer at a much lower price than the prevailing market price.
This stock is an unfolding story and looks like the place to be in for the next couple of years