Goldman Cuts Cablevision Rating

Analyst Richard Greenfield expects slower cash flow growth while waiting for the cable operator to unveil its digital products

Goldman Sachs removed Cablevision System (CVC ) from its recommended list and now rates market outperform.

On Thursday the company posted a $0.69 Q2 loss vs. a $1.03 loss. Analyst Richard Greenfield says he now expects 2001 operating cash flow growth to be meaningfully slower than previously expected. Although he expected Cablevision's growth to be modestly below the industry's as it has not yet launched its digital products, he says Cablevision's valuation relative to growth appeared attractive.

Greenfield he thinks the company still is positioned for exciting long-term growth, especially as it prepares to roll out digital products, and he believes current valuation is less attractive based on operating cash flow growth. Greenfield set a $60 target.