Oppenheimer & Co. is skeptical of recent speculation that a buyout of King
World Productions by Paramount Communications is in the works, writes Dennis
McAlpine in the brokerage firm's Daily Action Notes. King World, which owns
WIVB-TV in Buffalo, produces and syndicates such television programs as Wheel
of Fortune, Jeopardy and Inside Edition.
Oppenheimer notes that Paramount already has a strong first-run syndication
group and that the "unorthodox style" of the King brothers doesn't fit well
within a typical corporate structure. The investment house concludes that King
World's fundamentals are good, but advises against buying until the stock is
trading in the low $30s.