Cable Stocks Slip on Broadband Rules: Analysts
Cable company stocks fell Thursday as a new policy announced by the Federal Communications Commission seemed to leave too many questions, two analysts told CNBC.
FCC Chairman Julius Genachowski indicated that regulating broadband connections as a telecommunications service would be subject to "common carrier" obligations to treat all traffic equally.
However, John Hodulik, telecom analyst at UBS, said, "It's really hard to tell what it means."
Pricing would not be affected, Hodulik added. "At the end of the day, I don't know what the final product will be."
Consumers should have a choice of content and applications, said Ben Schachter, Internet analyst at Broadpoint Amtech.
"We want to make sure we don't return to the days of Ma Bell when phone companies told you what type of phone you could rent and who you are allowed to call on it," said Schachter.
Schachter said the stocks he likes right now are Google, Yahoo and eBay .
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Disclosure information was not available for Hodulik, Schachter or their companies.