Viacom (VIAB) soared to the top of the S&P 500 on Thursday, helped by ongoing optimism about the benefit media stocks will see from lower taxes.
Viacom rose $1.65, or 5.7%, to $30.81, while the S&P 500 gained S&P 500 climbed 19.33 points, or 0.70%, to 2767.56.
As we reported yesterday, media stocks will get a boost from lower corporate taxes, and that’s been enough to boost the sector, especially the more beaten down stocks. Discovery Communications (DISCA) also popped more than 5% after it announced an affiliate deal with Verizon Communications (VZ) at a conference today. In addition, Comcast (CMCSA) gained 2.2% after saying it expects the Super Bowl and Olympics to garner $1.4 billion in ad revenue for its NBC unit. That positive chatter, along with hopes for more M&A in the sector, helped boost Viacom higher.
Viacom is flat year to date, although it’s fallen more than 20% in the past 12 months.