BNP Paribas downgrades Zee Ent, shares fall

Dowbgrades Zee Entertainment to 'hold' from 'buy' citing limited upside

BNP Paribas has downgraded Zee Entertainment to 'hold' from 'buy' citing limited upside, after the stock gained 28 percent in three months.

"We expect margins to decline from 1Q investment in content and higher sports losses," BNP said in a note.

Says company benefited from its flagship channel Zee TV as well as strong growth in subscription revenue driven by MediaPro.

Prefers Dish TV over ZEE as the stock is a direct beneficiary of digitisation, also upgrades Dish TV to 'buy' from 'hold'.

At 12:52 p.m., shares of Zee were down 1.9 percent at Rs 160.40, while Dish TV shares up 1.32 percent at Rs 65.25.