Cablevision Target: $28 - Multichannel

Cablevision Target: $28

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UBS Warburg cable analyst Aryeh Bourkoff initiated coverage of Cablevision Systems Corp. equity last week with a "Buy 2" rating and $28 price target, saying he thinks the Bethpage, N.Y.-based MSO is approaching a turning point.

UBS already covered Cablevision bonds. It maintained a "hold" rating on them.

Two overhanging issues on the stock — the spinoff of a new direct-broadcast satellite subsidiary and the accounting investigation into Rainbow Media Holdings Inc.'s AMC and WE: Women's Entertainment units — should be resolved in 2004, Bourkoff wrote.

He expects Cablevision to report strong third-quarter earnings on Nov. 11 and believes the MSO is on track to reach the high end of 2003 cash-flow guidance.

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