News Corp. Downgraded on Threat From 'Powerful Enemies'

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By: Jeff Bercovici | Forbes.com

Rupert Murdoch, you’re not paranoid — they really are out to get you. Analysts from Needham & Co. have downgraded their recommendation for News Corp. from a buy to a hold on the grounds that “powerful enemies” of Murdoch are intent on using the phone-hacking scandal to bring him low.


“We believe Wall Street underestimates the resolve of powerful personal enemies of the Murdochs and political enemies of NWSA’s conservative media outlets,” write Needham’s Laura Martina and Dan Medina, terming the persecution a “witch hunt.” “We expect the powerful enemies of conservative-leaning Fox News and WSJ to exhibit sharper elbows in an election year like 2012. Near-term headline risk is acute, even if accusations prove erroneous after the elections are over.”































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