Viacom took a step toward a strategic shift Tuesday, but "Fast Money" traders said they would still prefer other names in media.

Viacom — which has seen its shares fall 47 percent in the last year — announced it is seeking a deal to sell a minority stake in Paramount Pictures. Shares popped more than 5 percent at one point in the session before closing only 0.4 percent higher.

Trader Guy Adami argued that the reversal did not bode well for the stock. He believes Viacom has reached a short-term peak.

He contended that recently battered Netflix, instead, looks appealing on a breakout from its current levels. Netflix — down 22 percent this year after a torrid 2015 — is one of the streaming names that has sapped viewers away from traditional cable channels like those owned by Viacom.

Walt Disney, which has taken a hit of its own amid concerns about subscribers, still looks worth buying, argued trader Steve Grasso, who owns the stock. It closed Tuesday near $95 per share, and traders could use $90 as a stop if they choose to buy in, he contended.

But trader Dan Nathan was more hesitant on Disney. He said it could take "quarters and quarters" for Disney to work through cable headwinds.

Nathan believes the stock could slide below $90 per share.

Disclosures:

Pete Najarian

Long AAPL, BAC, BKE, BMY, DIS, DISCA, GE, KMI, KMI-A, KO, MRK, PEP, PFE, SAVE, VIAB, he is long calls AA, AAL, AMJ, BAC, BHP, DAL, DATA, GDX, HAIN, HBAN, HOT, IBM, LC, NRF, SLV, TJX, UAL, USG, WMB, WYNN, ZIOP, he is long puts DB, EWH, MRO, MUR, RIG, VLO.

Dan Nathan

Dan is long PFE buy-write, long TWTR, long UUP March calls, long GE May 28 puts, long JPM April puts, long XLP March put spread, long XRT March puts, long XLB March puts, long HD put butterfly, long QQQ puts, long INTC March/April put spread

Steve Grasso

Steve is Long AAPL, AEO, BA, BAC, CC, DD, DIS, DECK, EVGN, KBH, MJNA, MU, OLN, PFE, PHM, T, TWTR, GDX firm is long MCD, CXO, OXY, BP, CVX, RIG kids own EFA, EFG, EWJ, IJR, SPY

Guy Adami

Guy Adami is long CELG, EXAS, GDX, INTC, Guy Adami's wife, Linda Snow, works at Merck.