The Stars Align For DBS Shares

摘要

Investors seemingly have stars in their eyes for the DBS industry, as stock prices in our DBS Average are up 27% YTD as of Oct. 31—despite less-than-stellar news. On 10/20 a federal court imposed an injunction against EchoStar Communications, ordering it to stop selling out-of-market station feeds by Dec. 1. Approximately 800,000 DISH customers receiving the signal, legally and illegally, are affected by the court decision to pull the plug. Legal customers (those unable to receive clear local over-the-air broadcasts) lose out because EchoStar is being punished for engaging in a "pattern or practice of violating the Satellite Home Viewer Act (SHVIA)," according to the decision.