The wrath that the NFL has been feeling from its fans has been painful with each passing day this week. The league likely assumed that the pressure would soon dissipate and this week and the season would return to normal. It didn’t let up, in fact, the league has crumbled under the pressure and are may now be unable to continue after receiving a death blow more devastating than their epic ratings plunge.
Letting an issue fester and go unchecked has devastating consequences which the national football league can now probably speak to now. They should have gotten ahead of the issue before it their industry required life support to stay afloat, but they didn’t, and now someone has just pulled the plug.
The NFL is in denial over the massive drop in viewership, blaming it on literally anything they can come with outside the obvious. Even once DirecTV said they would offer refunds to any disappointed customers who had purchased the “NFL Sunday Ticket” to watch any and all games on their network, and tens of thousands of former fans took them up on the offer, they still can’t seem to understand that it’s their players’ protests which are the problem.
Since that didn’t send the message or at least one they will actually acknowledge, money will talk – especially when it’s a lot.
Wall Street is a lot bigger than the NFL and just issued a blow to the league that’s going to be hard to recover from. Regardless of the financial industry’s stance on kneeling, they are recognizing what the NFL insists on ignoring and that’s that these anti-American antics are really bad for business.
The Conservative Tribune reports:
According to Bloomberg, major investment bank JPMorgan Chase just gave a brutal outlook to the NFL and the networks that are carrying its games, singling out the anthem protests as one of the reasons the entities could be in serious trouble.
According to Bloomberg, analyst Shawn Quigg said investors should bet against CBS stock ahead of this week’s NFL matchups, arguing that more controversy could tank the stock.
“The bank recommends buying an option that gives you the right to sell the shares at $57.50 on the likelihood that the stock will fall below that price after the company discloses ratings for the games,” Quigg said in a note to investors. “CBS closed at $58 on Tuesday.”
“NFL-related revenue is not trivial to CBS, and any decline in NFL viewership related to the national anthem debate may negatively affect future results,” he added. “We view this weekend’s viewership results as a cleaner proxy in determining whether the anthem debate may be a larger issue for the NFL, and CBS, or not.”
Using the massive increase in sales of Steelers’ Alejandro Villanueva’s jersy, after he initially went out on a patriotic limb to stand for the anthem, Quigg said it became obvious where the majority of America stood on the anthem issue.
“If one uses player jersey sales as a proxy, fans appear to favor an on-field standing presence during the anthem,” Quigg noted, adding that another week of controversy and bad ratings could possibly “mobilize investors to take the potential impact more seriously,” according to Conservative Tribune.
Bloomberg noted that the NFL represents 10 percent of CBS’ total ad dollars which is significant in the grand scheme of things. When investors pull back, it doesn’t bode well for profits altogether. Since the NFL doesn’t want to listen to their fans, those associated with them will, and perhaps they’ll listen to big businesses and investors.
Perhaps CBS can put the pressure on the NFL to change their game on these protests and stop it in an urgent effort to save their stock. This proves that boycotts have worked in sending a message that America is important to fans, or at a minimum, that people don’t want politics mixed with sports.
It’s disappointing that the NFL refused to see the fallout ahead of time to prevent it. This poor decision on the players’ parts and those who supported it within the industry has now affected many people’s lives in a multitude of negative ways.
This is why it’s not okay to mix controversial issues where they don’t belong. It has nothing to do with a difference of opinions and everything to do with listening to what your fans and customers want. Nobody is demanding that players not express themselves, they just shouldn’t use their job in sports to do it.
CBS is the first of like many more stocks analysts will warn about.