For the second day running, shareholders of Ten Network Holdings Limited (ASX: TEN) have had to endure the market's wrath.
The stock has been the worst performer for the day from the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) group, having fallen 2.5c or 9.26% thus far and is trading at just 24.5c apiece. The shares now sit 33.8% below their February high of 37c, and an astonishing 91.8% down over the last 10 years. Arguably, the shareholders would now be used to these heavy falls…
The broadcaster yesterday announced that its television revenue for this financial year would be around 4% lower than in the previous year. It comes as the company's expenses have increased (as it purchased the rights to broadcast the Sochi Winter Olympics, amongst other second-tier sporting events) and as advertising is targeted at other media sources, such as online or digital media.
Unfortunately, Australia just isn't large enough to support three free-to-air networks. As Seven West Media Ltd (ASX: SWM) and Nine Entertainment Co Holdings Ltd (ASX: NEC) continue to dominate the sector, investors would be wise to avoid this falling star.
After all, as Warren Buffett once wisely stated, "turnarounds seldom turn"…
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