CTC Caps Longest Slide Since Dec. as Goldman Backs Off Buy
CTC Media Inc. fell a sixth day, the longest losing streak since December, after Goldman Sachs Group Inc. downgraded the Russian television company less than a month after recommending investors buy the stock.
Shares of CTC traded on the Nasdaq Composite Index dropped 0.9 percent to $10.08 in New York today, the lowest close since Jan. 24. Trading volume exceeded the daily average for the past three months by 52 percent, data compiled by Bloomberg show. This week’s 5.4 percent slump trimmed CTC’s advance in 2013 to 30 percent. The Bloomberg Russia-US Equity Index of the most- traded Russian stocks in the U.S. added 0.4 percent today to 104.29.
The recent rally in CTC’s shares -- it is the best performer on the Russia-US gauge this year -- and a slowdown in Russian advertising will curb further gains in the stock, Alexander Balakhnin, a Moscow-based Goldman analyst, wrote in a report dated yesterday that downgraded CTC to neutral.
Goldman rated CTC shares a buy Jan. 11 on prospects a focus on younger viewers will stoke revenue growth.
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